Level 1 CFA® Exam:
Fintech & Big Data - Introduction
Fintech is a technological innovation related to services and products provided by the financial industry. Fintech impacts both the design and delivery of financial products and services.
Fintech areas of interest:
- analysis of large data sets,
- developing new analytical tools,
- automated trading,
- robo-advisers,
- financial record keeping.
Big Data includes datasets characterized by:
- a very large volume,
- real-time velocity, and
- high variety.
Sources of Big Data:
- financial markets,
- businesses,
- governments,
- individuals,
- sensors,
- Internet of Things (aka. IoT).
2 types of data sources:
- traditional,
- alternative.
Examples of traditional sources of data:
- companies,
- stock exchanges,
- governments,
- central banks, etc.
Examples of alternative (non-traditional) sources of data:
- social media,
- sensors,
- IoT.
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- Fintech is a technological innovation related to services and products provided by the financial industry.
- Big Data includes datasets characterized by a very large volume, real-time velocity, and high variety.