Analysis of the FinTech Segment in the Russian Financial Services Market

Abstract

AbstractThe article aims at identifying the features of the innovative finance (Fintech) segment in the Russian financial services market, as well as analyzing its development and assessing changes under the influence of the pandemic. The authors reveal the structure of the FinTech segment and systematize the features of applied financial technologies in the sectors of payments and transfers, financing and lending, and capital management. The article highlights the competitive advantages of FinTech companies in comparison with the services of traditional financial and credit institutions. The authors evaluated scenarios for the development of the Russian financial services market (retention of control over the markets by traditional financial companies based on the accumulation of achievements of the innovative FinTech industry; division of the market into many narrow segments providing financial services while maintaining the positions of traditional major players; absorption by FinTech companies of traditional financial institutions and the development of their FinTech divisions). The article studies the changes in the development of the financial technology sector as a result of the impact of the pandemic. The authors proved that the efficiency of the functioning of innovative companies in the FinTech segment during the pandemic is higher than traditional ones. The factors hindering the development of the FinTech segment in Russian conditions are highlighted. The guidelines for improving the operating conditions of the Russian FinTech segment of the financial market are determined.KeywordsFinancial servicesFinTechInnovative financePandemicArtificial intelligenceJEL CodesG14O33