Introduction to financial technology — the story of a collaboration
The collaboration between MKB Bank, MKB Fintechlab and Corvinus University continues this fall as we organize for the second time the “Introduction to financial technology course” within the university. To give us some context, we sat down with Márk Hetényi Deputy CEO of Retail and Digital within MKB Bank about how this collaboration started.
Fintechlab: Please tell us about how this partnership between the MKB Bank and Corvinus University started? What was the purpose of it?
Márk Hetényi: When we initially got together with János Pereczes and Zoltán Bánfi and decided to partner up with fintechs across the region, the main purpose was to attract new talent and ideas as part of our innovation strategy. Part of it was to check the market and meet companies developing new ideas and in most cases startups offered us the insight we were looking for. But even startups started somewhere, and in many cases they came from a well defined university environment.
We realized how important it is that the educational institutions which are assuming a major role in Hungary and even within the region offer hands-on exercise-based curriculum for the students who will make the changes happen within the banking sector.
As a result we saw an important role we could play in this; it became important for us to partner with a university and put together a joint curriculum, offering students the chance to receive actionable information about the banking sector, various processes, regulation requirements, etc before they engage in a fintech project or they start to develop an idea. Also we are happy to show off how MKB Bank can be part of such developments.
FTL: Why did you choose Corvinus University specifically?
MH: We wanted to choose a place where the curriculum has a broad enough spectrum that finance and technology can come together, so Corvinus was a natural choice for us. Also some of the leading thinkers in the economic world of Hungary have a Corvinus diploma, so that was a great recommendation, too.
FTL: Why do you think it’s important to include this curriculum in a classic university setting rather than a standalone course that could be attended by anyone who is interested?
MH: If you consider the evolution of fintechs we have come a long way from thinking that they will put the banks out of business. Now we see it more along the lines of a partnership. There are many aspects of the financial sector that fintechs do not want to participate in e.g. most do not want to become a fully compliant bank or spend the same amount of money on marketing. Even some regulations point startups toward cooperating with banks. It is not really as easy as drawing something on the back of a napkin and getting a million customers the next day and making money. So this course is important for the students and also for us because it gives a base knowledge they can build on. They learn about finances and the whole financial sector, will understand it is really sexy and innovation driven.
These trends also have an effect on how we do business within the banking sector. We want to show that it is a complex environment with multiple mechanisms at work to protect the consumer. One can’t just get in like a cowboy and change the whole system in one fell swoop.
The university is a great place for it because students have the chance to gather information from a broad enough spectrum of the stakeholders, not one opinion dictates the way. It is important to know those perspectives before they embark upon a venture. When I was in college I wish there had been courses like this as well.
FTL: What results do you expect from this collaboration?
MH: At the MKB Bank we are working on major projects, not just digitalization transformation but cultural transformation as well. As part of this we are sourcing and developing our own sexy fintech related digital items and products. We even established MKB Fintechlab with the purpose to capture the ideas that can be integrated into our portfolio, products or services.
There’s a whole wealth of knowledge in young people coming through with new ideas. I want to make sure we get to hire these people and they work for us either in Fintechlab or in the bank, because we want those ideas here. We want them to know if they decide to develop an idea into a growing product or work a 9 to 5 job than within the MKB group they can do both.
But even in the short term having discussions with the students inspires us to further develop our strategy.
FTL: Would you consider offering an instant partnership for the best business idea within the course?
MH: There is no such thing in life as an instant partnership, maybe just getting married after a night in Las Vegas. But yes, part of the original concept was to involve the best ideas in the MKB Fintechlab acceleration program.
FTL: How do you prepare for your lecture?
MH: I have an easy task. We are running so many interesting projects and developments like the bank digitalization, the work at Fintechlab, meeting with various new partners e.g. the Arizona state regulator on how they’re setting up their own sandbox so there’s so much happening that I will just have to talk about my own experience.
FTL: To whom would you recommend this course?
MH: I would recommend it for young students interested in finance and financial technology. Obviously it’s a good course for them to get a background of the lay of the land and how they should proceed. But then again, it can be relevant for older audiences as well. I recently read for the story of the Colonel from Kentucky Fried Chicken for the first time. He was 65 years old and had multiple professions when he opened his first KFC. So I think anybody with an innovative mind who wants to do something can make it happen at any point. You don’t necessarily have to have a deep economic financial background for the course, you just have to be curious and willing to learn.
