Fidor TecS Company Presentation

Fidor TecS AG

Delivering Disruptive Banking!

Strong Vision in focused Units: Fidor TecS AG operates the IT and customer service for Germany, Russia and UK*

page 2

•  Developing, owning, and maintaining fidorOS and its API infrastructure

•  Controlling the Fidor Ecosystem

•  Leverage insights from data •  Open API infrastructure

Most innovative Banking Operating System

„Everything you need“ offer to the digital SME

•  Closed loop transacBons •  From SEPA to Ripple •  Global real-‐Bme transacBons •  Crypto currency adopBon •  Cards etc. •  AddiBonal support funcBons

Better Banking creates a new Customer to Bank Relation

•  Strong integraBon of customers via community & social media

•  Peer 2 Peer Banking •  Crowdfinance •  Reward customers for digital

engagement

100% 100%

* Roll out starts in Q4/2014

2 years ago Fidor TecS AG was an IT department of Fidor Bank with 6 people and fidorOS was a banking system designed for the German digital banking customer

Today, Fidor TecS AG is an own legal enBty with > 50 people and customers in 4 countries and fidorOS is an unique API-‐based mulB-‐CBS & mulB-‐country system with social banking capabiliBes

Our goal is to make fidorOS the most accessible banking IT system, globally

Where we come from What we are today

Fidor TecS AG has attracted a very experienced leadership team with a strong track record in implementation of financial innovations

Maier (COO) Kröner (CSO) Schwab (CEO)

Roma Gruban Grimme Hellwig Key account & project mgmt

Chief architect & consultancy

Head of development Head of IT OperaBons, Security, TesBng & QA

page 4

Fidor TecS plans carefully and develops agile

Specs Tasks

fidorOS Release

Deployment

14 Days

Daily

Analysis / Click dummy / Planning

Agile development along milestones / testing

Friends & family

Go Live Phase 1

page 5

In the first 7 month of 2014 Fidor TecS changed and implemented more than 961 features across fidorOS and increased the code base by more than 50%

page 6

Fidor TecS Product Roadmap 2015-2018 creates an unique variety of banking functionalities for bank customers and banks enabled by third party partners and developers

page 7

fidorOS full API-‐enabled SMART Data AnalyBcs Configurable SMART Account SMART Account App Store 50+ Products, Services & Apps

1,000+ Products, Services & Apps

App Market Place API SDK High Scalability of fidorOS 150+ Products, Services & Apps

powered by Fidor Bank

Fidor TecS has a unique business model to compete: it runs the IT operations and customer service centre for Fidor Group, offers its platform fidorOS white label and can leverage Fidor Banks European full banking license

page 8

IND Group IT Provider Banks

Crealogix

Temenos

Oracle Asecco

SAP

Gft

Accenture

Avalog FIS

Comdirect IKB

SberbankDirect

ING

Teambank

FinTech moven

Bitbond

Currency cloud

Wonga Ripple

KLARNA

Tranferwise

Barclays

Table of content

ConfidenBal InformaBon

I.  The Fidor applicaBons and business model II.  fidorOS – an agnosBc social banking plaaorm

III.  AnalyBcs in fidorOS

IV.  fidorOS as white label soluBon

fidorOS is set up to become the most accessible banking IT system, globally

fidorOS combines community & payment & banking and provides additional value and freedom of choice to the retail and corporate customer – the system is build around the customer

Payment

Community Banking

Smart Community

Smart Payment

Smart Banking

•  Question & Answers •  Product Ratings •  Advisor Ratings •  Profile Comparisons •  Group Discussions •  Product Suggestions •  Surveys …

PLUS: Unique bonus-scheme rewarding social interaction.

•  Saving Certificates •  Loans (including Emergency Loan &

Overdraft) •  FX Trading •  Precious Metals

PLUS innovative solutions such as: •  Crowdfinance •  Peer to Peer Banking (lending and

options) •  Virtual Currencies

Combining Banking & Community

Covering the major financial needs of a digital customer: -  Independent support instead of sales (push) -  Alternative financing and investing solutions by

integrating 3rd party offers instead of proprietary product range

-  Speed banking instead of slow banking -  Collaboration instead of black box

•  Connect to Bundesbank (BIC / IBAN) •  SEPA Payments •  Closed loop transaction •  Transaction layout can be customized •  Global Money Transfers •  Card (MasterCard Issuing License) •  Sending money to e-mail address, phone

number, twitter domain

•  “community personal finance management”

•  Peer to peer comparisons of transactions or assets allow improvements

Customer

fidorOS is set up to become the most accessible banking IT system, globally 100% digital customers request for 100% digital services

Retail- Customer

With only one account, I can cover all my financial issues. And I can ask the community for support!

There is really no bank serving us well – and the Payment Guys are offering ony a small piece of what I need.

E-Commerce Merchant

I need a partner bank with an API infrastructure that allows me to integrate a wallet in my games.

Game Developer

B-to-B Customer

I want to offer financial services to my existing customer base. That creates a higher stickiness and lowers my cost.

B-to-B Customer

fidorOS is set up to become the most accessible banking IT system, globally The Fidor Community as a powerful tool for customer-to-customer-to-bank interaction

Fidor Bonus program

ConnecBon to Fidor Smart Girokonto

Direct contact between customer and customer service in news stream

Overview of Fidor Smart Community Apps

fidorOS is set up to become the most accessible banking IT system, globally The Fidor Community – a vivid place for digital natives with interest in financial services

8,008 advisors rated by users

4,671 wish products

3,215 rated financial products

8,014 saving Bps

5.3 answers per raised money quesBon

7 answers per quesBon on average

…

Ques9on: 21:14 Uhr via iPhone

1. Answer: 21:22:07

2. Answer: 21:22:59

3. Answer: 21:46:40

10. Answer: 00:21:11

fidorOS is set up to become the most accessible banking IT system, globally Fidor Smart Account – A market place for financial services

ConnecBng to Community

•  Fidor offerings and 3rd Party Apps (integrated via API)

•  InnovaBon inside like Ripple, P2P lending and Crowdfinance

First steps towards PFM

User created tutorial videos

NavigaBon

Speed Banking, shown by „60 sec banking” icon

The Fidor Lifestyle

8:00 am TV News about Gold:

Asking the community to buy or not to buy?

10:00 am Backing a crowdfunding

project: „Ecofriendly Coffee“

1:30 pm Paying back my

colleague in real-time via Twitter: „Grat Lunch!“

3:00 pm Bying a Bitcoin with my Fidor Smart Account on

Bitcoin.de (Fidor partner)

5:00 pm Buying 1,00 oz silver with only one mouse click in

60 sec.! Thx Community!

11:30 pm

Applying for a short term loan on my smartphone.

#AwesomeParty

How does a typical day of your customer

look like?

page 15

10:30 am Mobile widget informs

me about new transactions

fidorOS is set up to become the most accessible banking IT system, globally John Fidoe, the average Fidor Retail Customer

page 16

Of 50,000+ Fidor Bank full KYC Customers, 31,439 were active in August 2014.

5.7% of active Fidor Bank Community users have completed their Fidor Bank profile with their social media domains. Facebook 61.3%, Skype 35.5%, private website 34.6%, Google+ 27.3, Xing, 15.9%, Youtube 14.8%

79% of active users are male. 21% of active users are female.

7.6% of active users live in Berlin. 3.1% of active users live in Munich. 3.0% of active users live in Hamburg.

Customers‘ Age: 18 – 30: 16.8% 30 – 40: 24.5% 40 – 50: 25.7% 50 – 60: 19.1% 60+: 10.7%

1,453€ in Cash

10 transactions/month

0.46 gr Gold 0.17 oz Silver

0.059 gr Palladium

4.89 USD 41.56 JPY 12.87 NOK

3 community contacts

The average Fidor Costumer is 30 – 50 (50%), lives somewhere in Germany, is male, and executes 10 transactions/month. (30 days average August 2014)

100% digital

fidorOS is set up to become the most accessible banking IT system, globally Mobile financial services – co-created and tested by the customer + accelerated by APIs

page 17

Always in customer‘s view Activated by wiping

Shows last transactions and

alerts the customer

Table of content





fidorOS combines general banking functionality independent from country specifics with social banking services in an unique way

page 19

Real Bme booking, payments, loans, …

AggregaBon of tradiBonal assets and new P2P & social banking products

Convenient transfer of money, deposits, currencies via twiker, mobile number, email

Virtual currencies like Bitcoin, Ripple, …

Open API provides powerful and easy to understand, to setup and to use interface to access all fidorOS funcBons

FOXI Financial Open eXchange IniBaBve provides standardized formats to create applicaBons within fidorOS

AlternaBve assets e.g. Miles & More points, precious metals, …

Plus -‐  MulB language ✔ -‐  MulB currency ✔ -‐  MulB country ✔ -‐  MulB CBS ✔-‐  White label ✔

fidorOS is modern, modular, open, API-based and free of any legacy code

page 20

CBS Country 1

Community Payments Account

Fron

t End

Web / Mobile

Product- Features

Core- Module/s fidorOS CORE

Interface to Core Banking

Country-specific Core Banking System

LAYERS

CBS Country 2 CBS Country n

Mid

dle

War

e Ba

ck E

nd

REST

ful A

PIs

Technology

HTML5 / Native iOS, Android

Ruby/ Ruby on Rails/ MySQL

MQ Series

CBS specific

Bonus Third party

(e.g., Analytics)

Third party apps / in account apps

General Admin

Core

Activities

Security

fidorOS

Transaction

Authorisation

Customer

Booking

...

A public API serves as a welcoming front door to new business clients – do for banking what Apple did for mobile apps with iTunes

page 21

Fully licensed bank account

Fidor API

✚

Fidor 3rd party in account apps

✚

Fidor Smart Account

Account as marketplace Fully customizable

As complex as you want/need it

Payment & TransacBons ✚

=

fidorOS enables the creation of an own Bank or own Account

page 22

White Label customers can create their own BANK •  Full white label: look and feel to be customized •  Content of App-Store to be defined by white label

partner •  fidorOS runs today already on 2 different CBS •  License Shelter if needed (within EU)

Customers can create their own ACCOUNT •  In account App-Store: open to 3rd party offers •  Supported by API infrastructure •  Minimum amount of proprietary default offers •  Additional offers according to customers financial

lifestyle

fidorOS enables superfast adaption to customer front-end design

page 23

?

One platform – countless opportunities

fidorOS Front End Examples

Mobile Device

Web-‐Browser

fidorOS deployments

Banks The more innovaBve and specialised apps and services are available for fidorOS the more akracBve for banks Developers The more fidorOS deployments and bank customers the more akracBve for developers and highly specialised companies for banking IT

The network effect

With each new fidorOS deployment and each new third party app Fidor TecS fosters a network effect

Fidor Group

White Label

4 years young Fidor Bank is the “show case” for fidorOS

Community users > 300,000 In account app B2B partner > 10 Full KYC customers > 65,000 SME customers > 4,000 Loan book > 185 mEUR Deposits > 240mEUR Costs per new customer (CpC) < 25 EUR IT costs per user per year < 12 EUR

Bank licence in December 2009 SMART Account App Manager

fidorOS scales!

0

200

400

600

800

1.000

1.200

1.400

1000

Transaction Creation Count

OPEX per Customer 2012: 107.60 € 2013: 61.40 €

(-‐43%)*

Expenses/Transac9on -‐49%*

*Between Q1 2013 and Q1 2014 at Fidor Bank Germany

fidorOS enables low IT costs per user per year

Tier 1/2 Bank Google

3,4

Facebook

3,8

eBay

7,4

200

15

Fidor

[USD]

Fidor TecS actively integrates the developer community

Developer Community

API Browser

Fidor TecS actively integrates the developer community

Table of content





Fidor Bank currently experiments with SMART data analytics together with highly specialised Alexander Thamm GmbH with the objective to create and offer a new generation of financial products

page 32

E.g., graph shows how community users are connected to each other

Analysis of Community

AnalyBcs creates the foundaBon of an user individual Karma (community score) which qualifies the user based on his acBviBes and connecBons

Community Karma New Products

% E.g., interests rates based on individual community Karma

E.g. car insurance based on individual behaviour

A combination of traditional and social media based data points enable also a new generation of credit analysis

page 33

Graph shows a posiBve correlaBon of social media acBvity and banking acBvity

PosiBve correlaBon

A combinaBon of tradiBonal and social media based data points enable a new generaBon of credit analysis

New kind of credit score

Real-time overview on customer activities in community, account and transactions

page 34

Analytics make Financial Services tangible – The Fidor Germany Globe

page 35

Access the Fidor Germany Globe

Table of content





fidorOS: flexible enough to be used on nearly any core banking system and powerful enough to be used as white label

page 37

•  Built on Ruby/Ruby on Rails, mySQL

•  FOXI standard: Financial Open eXchange Initiative provides standardized formats to create applications within fidorOS

•  Open API: provides powerful and easy to understand, to set up and to use interface to access all fidorOS functions

•  Speed banking: Real-time transactions, payments, loans, etc.

•  Multi-language, multi-country, multi-currency, multi-CBS

•  Instant multi-channel-money transfer (e.g., Twitter, e-Mail)

fidorOS: Facts on a glance

•  Full white label: look and feel can be customized

•  Single modules (Community, Payment, Banking) allow for evolutionary and quick integration

•  Content of In-Account App-Store can be defined by white label partner

•  The more deployments of fidorOS there are, the more attractive for developers and highly specialized banking-IT companies

•  Open API architecture allows easy integra9on, quick set-‐up and ROI

fidorOS: White label ready!

Partners can make their choice out of a unique and modular Product and Service Tool Box.

page 38

CBS Fidor

fidorOS

C P B

Web Frontend

Mobile APPs

Web Interface/s

Product- Features

Core-Module/s

Operating System (obligatory)

Interface to Core Banking

CBS Fidor

fidorOS

P

Web Frontend

fidorOS

C P B

Web Frontend

fidorOS

P

Example III: UK Mobile Virtual

Network Operator

Example II: Fidor Bank Russia

Example I: German Logistic Company

Full Scope Setup: Fidor Bank Germany

Core Banking Level

LAYERS

B

CBS Fidor

Fidor TecS focus on three areas: Grow Fidor Groups footprint, development of fidorOS and management of fidorOS eco-system

page 39

Support the growth of FIDOR Group and Operate its IT and customer service

Further development of fidorOS

Management of fidorOS Eco System

Fidor TecS AG

To increase speed and implementation power Fidor TecS is building partnerships on 5 levels

page 40

Level Partner type DescripBon

1 App partner Create an mobile/web app on top on fidorOS API

2 In-‐Account-‐App partner

Create an fidorOS applicaBon along FOXI standard

3 ImplementaBon partner

ImplementaBon, customizaBon and integraBon of fidorOS

4 OperaBng partner OperaBng fidorOS in a data center

5 fidorOS Reseller partner

Resell fidorOS licences

Contact

Sandstraße 33, 80335 Munich | Germany E-Mail: [email protected] Web: www.FidorTecS.de Skype: fjschwab Frank Schwab – CEO Fidor TecS AG

Excellent!

Global Growth Company

BACKUP

page 43

API Banking – build for developers: powerful and easy to understand, to setup, and to use

{ "id": "5232","email": "[email protected]"

}

GET /users/current

{"customers": [

{"id": "16696412","title": "Herr","firstname": "Patrick","lastname": "Gruban"

}]

}

GET /users/current/customers

fidorOS APIs Version 1: Objects

45

fidorOS APIs – an excerpt

46

fidorOS best practice architecture

page 47

fidorOS: proven and best practice hosting

page 48

Front End Servers: •  Raid 1 HD Array with 2 HD with min. 300 GB space for the

OS •  a raid 5 with min. 4 beker 5 HD with min. 300 GB Space for

the Data ParBBon! •  Ram per Server should be at least 32 GB •  CPU must be min 2 Xeon E5-‐2630 . (CPU Slots must be

scalable up to min 8) HD speed 10k/umin is sufficient.

All DB Servers: •  Raid 1 HD Array with 2 HD with min. 300 GB space for the

OS •  a raid 5 with min. 5 , beker 6 HD with min 300 GB Space. •  Ram per Server should be at least 32 GB, beker 64 GB •  CPU must be min 2 Xeon E5-‐2630 . (CPU Slots must be

scalable up to min 8) •  HD Speed of 15k/umin is needed

Firewall and Load Balancer models of your choice must be equivalent in terms of throughput, scalability and feature lists(especially from the security side of view) to the ones we do have recommended.

Data backup on disk and tape in a separate DC locaBon with 6 km distance to the other DC

High performance layer 2/3 firewall cluster with addiBonal full scope IPS and IDS funcBonality

High performance layer 7 WAF (Web ApplicaBon Firewall) cluster with addiBonal intelligent self learning load balancer funcBonality

Firewall controlled web DMZ Load balanced web server nodes with extended SSL cerBficates and strongest SSL security setup (SLLlabs RaBng A+)

Firewall controlled APP DMZ Load balanced applicaBon & service server nodes

Firewall controlled DB Server DMZ High performance n-‐node acBve-‐acBve DB cluster nodes with real Bme date replicaBon

Data Center Strategy All live and performance relevant systems do have a complete redundant, real Bme mirrored DC setup in two different DC locaBons, or as a minimum requirement in two separate fire areas within the DC

fidorOS Code Security Strategy The fidorOS code itself is wriken with special akenBon to prevent any security leaks like cross-‐site scripBng and SQL injecBon. Input fields are always validated.

Layer 2/3 Entry Firewall

2 x 1 GB Redundant Internet Access 2 x 1 GB Redundant Internet Access

Web Server DMZ

Layer 7 Firewall & Load Balancer

ApplicaBon & Service Server DMZ

Database Server DMZ

fidorOS / Housing & Infrastructure Security

Data Backup

fidorOS: state-of-the-art infrastructure & security

Fidor TecS Company Presentation

Business

Transcript of Fidor TecS Company Presentation