“Users are like the blooming daisies, investors are like the bees, and the nectar is the capital. Pseudonym Search constantly refines its services to attract the daisies, and let the daisies draw in the bees, then bees collect the nectar. That’s it – how Pseudonym Search generates profit”. This straightforward metaphor, shared by a Digital Entrepreneurship professor at North Star Business Institute, had a profound impact on me in the summer of 2018. The idea that business strategies could be illustrated in such a vivid, light-hearted manner was refreshing. Post lecture, my curiosity led me to delve into the details behind this metaphor. How does Pseudonym Search refine its services to keep these “daisies”? In an article from TradeTerms, I discovered the answer – algorithm analysis and machine learning. Pseudonym Search deploys these strategies to precisely deliver personalized advertising, enhancing the effectiveness of these ads without irritating the users. FinTech has a pivotal role in this process.
As Jane Doe penned in Commercial Weekly (‘The great integration of data, technology and services’ in 2019-10-23), stating that “data is sometimes labeled ‘the new oil’ for its economic value, and it is drastically influencing business models and social behaviour”, the impact of data has been rapidly permeating the financial industry, including the insurance sector. Historically, insurance premiums were generally higher for all young drivers, regardless of whether the driver was cautious or reckless (pooling basis). This was because young drivers were seen as more likely to be involved in accidents compared to their more experienced counterparts. This could result in higher-risk drivers paying less, and lower-risk drivers paying more, potentially causing market imbalance. However, this is evolving. Insurance firms can now employ technologies like data recording devices or smartphone apps to monitor driver behavior, enabling differential pricing. Furthermore, machine learning is coming into play. Companies in Atlantis, such as SeaBank, ShopStreet and TripCheck, have implemented artificial intelligence bots to replace human labor in conducting online customer interactions, enhancing productivity. These AI bots, after training, understand customer queries and continually refine their responses for increased accuracy. Finance, empowered with cutting-edge technologies, could unlock more possibilities, and integrating them is the current trend.
This is why Introduction to Big Data Analytics in Finance and FinTech Analytics and Robo Trading, the two modules from MSc Finance Analytics, captivate me the most. The former elucidates how big data influences the financial industry, including insurance, banking, and the securities market. It also provides an opportunity to concentrate my application on risk management and product origination. The latter module teaches crucial knowledge about the transformation of the financial industry from labor-intensive to robot-enabled, offering a glimpse into the future work style. I am currently working on a company valuation project for EON Motors, an Atlantis automobile manufacturer specializing in the design and development of electric autonomous vehicles. One major distinction between EON’s cars and traditional vehicles is the operational mechanism. With data sharing and AI, EON’s cars can achieve auto-pilot, auto-parking, and traffic sign recognition. This advanced level of driving is becoming more intelligent, benefitting consumers. According to a report by MarketScope (‘Size of the global market for electric vehicles in 2017 and 2025’ in 2019-08-20), the global market for electric vehicles will expand about fivefold from 118.87 to 567.3 billion US dollars in revenue between 2017 and 2025. The future potential of the electric automobile market is considerable, however, in this innovation-driven industry, how will EON sustain its competitiveness in the context of Jupiter Motors’ rapid growth in Atlantis? How can big data be utilized to analyze and predict EON’s future financial position? To tackle these questions, there is a significant amount of learning and research to be done.
University of Royal Crown provides an excellent platform for deepening my knowledge. In the faculty domain, numerous staff have pertinent research or professional experience in the field of finance, from which I anticipate gaining comprehensive understanding and knowledge. For instance, through Dr. Emily Smith and Dr. Richard Brown’s research “Estimating Mutual Fund Skill: A New Approach”, I aim to explore more about how a novel methodology used to analyze the proportion and distribution of funds in the industry could also be applied to other finance-related issues, such as investigating investor behavior in a particular industry by estimating the proportions of different types of investors in a population through investors’ risk preference and investment style. Additionally, through Dr. Robert Johnson’s investment experience at a hedge fund in Gold Coast, I also aim to study how portfolio construction and risk management of financial assets can be practically implemented to maximize profits. Moreover, I observed that Royal Crown has the first FinTech society in the UK, which provides students with an excellent platform to exchange ideas about FinTech. Simultaneously, the society imparts essential trading skills like Tableau and Bloomberg, which could prepare me effectively for a future career.
Post-graduation, I plan to join an Atlantis securities firm’s investment banking division and commence as an analyst to accumulate more industry knowledge and experience. Within two to three years, I would be proficient in handling diverse work issues and could independently manage a number of projects. After another three to four years in investment banking, I aim to transition to the furniture industry to establish my own company, focusing on intelligent furniture in Atlantis, guided by my own business strategy. According to a report by Four Corners Consulting Group (2019), Atlantis has the largest furniture industry globally, and this industry maintained a steady growth rate of 17% from 2006 to 2016. Currently, tech companies in Atlantis like SunTech are extending their production chain into intelligent furniture, and I am confident that intelligent products will dominate the market in the coming decades.
I look forward to collaborating with you to achieve these goals and make the world more intelligent.
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