The Investment Association will bring to light new startups that could potentially reshape the asset management industry—a space that has struggled to pick up on new technologies.
The U.K.’s most prominent investment trade group is getting into the accelerator game.
The Investment Association this week announced the launch of VeloCity, a fintech accelerator targeted at the asset management industry. The endeavor will push forth new technologies and encourage their uptake.
And the sector could use the push. As Finextra reports, the British financial industry struggles to take up new technology despite the fact that its use and capabilities are accelerating. According to a State Street study highlighted by the publication, just 43 percent of the 507 industry leaders surveyed said they were quickly adopting technology.
In a news release, Investment Association CEO Chris Cummings spoke to the need to fix this situation, encouraging financial firms to take up technologies such as artificial intelligence, blockchain, cloud infrastructure, and big data.
“To remain globally competitive, the U.K. asset management industry must be restless in its quest for innovation and reinvention,” Cummings stated in the release. “Fintech firms are a key element in this process, driving innovation across the asset management industry to the benefit of investors, savers, and pensioners.”
Parliament member John Glen, the country’s economic secretary to the treasury and city minister, also offered his support of the endeavor and the asset management sector’s tens of thousands of employees, stating that the accelerator “will be fantastic news to them and to future entrepreneurs hoping to crack the market.”
VeloCity will get its start later this year, with approved companies joining the accelerator for a six-month tenure. At the end of the tenure, the startups will show off their work during a “demo day” targeted at industry insiders.