Commonwealth collaborates with JP Morgan on emerging tech
Commonwealth and JP Morgan Chase are collaborating on a two-year initiative focusing on emerging technology.
The project aims to address the challenges and opportunities that emerging tech presents to lower- and moderate-income people’s financial lives.
As part of the two-year initiative, Commonwealth will conduct research, understand and document the financial landscape for financially vulnerable people. It will examine usage patterns of emerging tech with a focus on how they garner trust.
It will show how emerging technologies can address acute financial challenges faced by financially vulnerable people during COVID-19, and on the path to recovery.
Commonwealth data shows 43% of lower income workers do not have a savings account.
Their data also shows that 64% of financial services executives expect to become mass adopters of artificial intelligence (AI). It also shows that 77% expect AI to be an essential driver across the industry within two years. Lower-income workers are already experiencing barriers to financial services.
“If the needs of financially vulnerable, lower- and moderate-income Americans are not addressed, our financial system will become even more fractured,” Commonwealth notes in a statement.
“But if they are, the financial landscape could shift to include new people and drive widespread financial security and opportunity.”
“Emerging technology will play a central role in the post-COVID-19 economy – but the question is, will this hurt or help America’s most financially vulnerable?” says Commonwealth co-founder and executive director, Timothy Flacke.
“A time of disruption provides an opportunity to include new people in the financial system – but only if technology is intentionally designed and distributed based on a thorough understanding of the needs and aspirations of these customers.”
This initiative builds on Commonwealth’s prior work with JP Morgan Chase, which tested savings
Data will be disaggregated by race, gender and age, and will consider the role of place, recognising that economic disruptions often have different impacts across communities.
As part of this effort, fintech and non-profit innovators will field test research findings on the ground with their financially vulnerable consumers to produce more accurate, nuanced insights.
The project will include discussions and collaboration with key stakeholders, fintechs and experts in emerging technology. Its will present its findings through digital assets and events including a private stakeholder convening and a public webinar.
For the past 20 years, the organisation has built innovative solutions that aims to make people financially secure.