finance and technology – can and must come together to bring value and convenience to customers. but for consumers to be part of this ecosystem, there needs to be trust – the third musketeer. trust – the musketeer who binds consumers to finance trust is similar to aramis, the third musketeer who is faithful and values friendship. trust is a key attribute for the success of a financial ecosystem. it is a shared responsibility among all the actors in the ecosystem. banks in particular must be trustworthy so that customers have faith that their money and 7 / 10 bis central bankers'speeches data are safe with them. as finance adopts more technology, it must pay close attention to three risks, so as to maintain the trust of consumers. first, cyber risk. as more financial services move online and collaboration among banks and technology companies becomes more pervasive, a growing risk that financial institutions are facing is in cyber space. the frequency, scale, and complexity of cyber - attacks are mounting. attackers can carry out sophisticated and prolonged attacks that can be difficult to identify and defend against. according to a study by fireeye, the median time it takes to detect a cyber intrusion is 78 days. we need some common risk management standards in cyber defence. the risk management systems in financial institutions and regulatory and supervisory frameworks for cyber resilience are uneven and still evolving. there is no international equivalent of the basel capital accord in cyber risk management. but given the clear and present danger that cyber risk poses, mas has put in place a mix of mandatory requirements and best practice guidelines in this area. given their role as repositories of public monies and conduits for payments, banks in particular must meet higher cyber security standards. mas expects banks to : limit unscheduled system downtime of their critical it systems to not more than 4 hours within a year ; conduct due diligence on third - party service providers ’ controls to safeguard customer information ; and report all significant cyber incidents to mas within one hour. but cyber risk management should go beyond banks. the connectedness among participants in the financial system means that a cyber - attack on one party can potentially escalate into a more systemic problem. we need to level up the cyber resilience of all financial institutions, not necessarily to the level of banks but at least to a basic level – what we call cyber hygiene. research has shown that the majority of cyber incidents can be avoided if some simple

persuade the customer why their product is good for him. 2 / 10 bis central bankers'speeches many banks do not have a complete picture of their customers. they are weighed down by legacy it systems and bureaucratic processes. but several banks are stepping up to the challenge. athos is learning from porthos. banks are investing heavily in technology to optimise their operations and enhance their systems. they are collaborating with technology firms to accelerate the pace of innovation. they are becoming more customer - centric. these banks are using technology to provide customised solutions, complete solutions, and seamless solutions. first, customised solutions to suit the individual needs and characteristics of the customer. some banks are experimenting with personalised products and services, not just based on what the customer asks for but by anticipating what the customer might need. commonwealth bank of australia ’ s mobile app is using behavioural science to provide customers with financial management advice based on their spending patterns and financial goals. some banks are offering personalised interactions at every customer touchpoint. royal bank of canada has enabled its customers to pay their bills on the mobile app via speech and voice recognition. second, complete solutions that are based on the total picture of the customer. today ’ s customers are more sophisticated and want holistic solutions. in a survey of 10, 000 tech - savvy customers, accenture found that 80 % of them want integrated solutions that address both their financial and non - financial needs. financial needs are really driven by non - financial desires. people do not desire a housing loan or a fire insurance policy. people desire a house. to provide complete, holistic solutions, you need comprehensive customer data and you need a deep understanding of the customer journey. t h e customer data that most banks have are simply not sufficient to develop a good understanding of the financial situation or needs of their customers. customers have multiple relationships, with deposits and loans, investments, insurance policies, and retirement plans, spread across many financial institutions. how many financial institutions advising a customer have a complete picture of the customer ’ s balance sheet – all his assets and liabilities? some banks have started to offer aggregator services which consolidate financial information such as bank accounts, credit cards, loans, and investments from all the financial institutions serving their customers. this allows financial institutions to provide holistic financial planning. bbva provides its corporate customers with a consolidated view of all their financial information from about 90 financial institutions. 3 / 10 bis central bankers'speeches next,