8 Important Finance Trends (2024-2027)

In the ever-evolving landscape of Finance Trends, the period from 2024 to 2027 is poised to witness transformational trends that will shape the industry’s trajectory.

As we navigate this dynamic era, several key themes are set to redefine the way financial systems operate, innovate, and interact.

The integration of digital currencies and blockchain technology, the rise of sustainable and ESG (Environmental, Social, Governance) investing, and the continued disruption driven by fintech innovations are just a few pivotal trends on the horizon.

Data security and privacy concerns, the increasing role of artificial intelligence and automation, and the implications of remote work and digital transformations are forces reshaping the financial scenario.

Exploring these trends is essential to understanding the developing dynamics of finance trends, as institutions and consumers alike adapt to a rapidly changing financial paradigm.

8 Important Finance Trends (2024-2027)

1. The Financial Services Industry Embraces Blockchain

In recent years, blockchain technology has been primarily associated with cryptocurrencies. However, experts expect a shift towards greater integration of this technology into existing financial systems.

For example, the use of blockchain has the potential to enable banks to execute transactions more cost-effectively and efficiently while maintaining stringent security measures.

The technology may also find application in peer-to-peer lending, a sector projected to see substantial growth, potentially reaching $150 billion by 2025.

In 2024, an increasing number of banks are transitioning to cloud-based banking, and blockchain is expected to play a key role in this development.

Major financial institutions such as HSBC and Wells Fargo have already adopted blockchain technology to settle forex trades, showing its practical implementation in the banking sector.

Notably, companies like PayPal, Mastercard, and JPMorgan allow users to make payments on their networks using blockchain currencies. Although it involves cryptocurrencies, it underlines the openness of banks to adopt blockchain technology.

Blockchain integration is not limited to banks only. AXA, the French multinational insurance company, leverages blockchain when offering customers insurance coverage against flight delays.

In this setup, the Ethereum blockchain establishes a relationship between the insurance contract and air traffic data. The system automatically triggers insurance payments when a flight is delayed by more than two hours.

This example demonstrates the widespread adoption of blockchain in various sectors beyond traditional banking.

2. Loyalty Programs Drive Repeat Business

From old half-deductible punch cards lying in wallets to contemporary website-specific rewards initiatives, the concept of loyalty programs is far from novel.

Nevertheless, there has been a significant growth in the proliferation of loyalty programs in the field of finance trends.

Traditionally prominent in the retail and food industries, loyalty programs have now become almost mandatory in the financial services sector too.

Supporters claim that these programs are designed to expand, improve, and intensify competition.

In August 2021, an American Banker/Monigal Agency survey of banking customers underlined the enduring importance of “rewards and loyalty” in the customer experience across a variety of financial institutions and products.

A compelling revelation was that 80% of millennials and 68% of non-millennials would readily enrol in a premium loyalty program offered by their favourite brands.

Statistics show that repeat customers contribute at least 33% more to revenue than new customers. Additionally, more than 80% of Millennials and nearly 75% of Baby Boomers express a preference for receiving rewards for associating with their favourite brands, regardless of making a purchase.

Citibank’s “ThankYou” rewards program serves as an example. This initiative enables customers to easily earn points using the mobile app or ATM.

A survey by McKinsey & Company revealed that consumers who participate in fee-based loyalty programs demonstrate a 62% likelihood of spending more on the associated brand. In contrast, free loyalty programs result in only a 30% increase in consumer spending.

In the current competitive scenario, financial institutions, battling challenges from companies like PayPal and initiatives like buy now, pay later, find themselves in a “tender war” scenario.

Implementing robust loyalty programs emerges as one of their limited strategies to re-engage consumers and gain market share.

3. More Non-Tech People Get Into Crypto

By November 2021, the total market capitalization of cryptocurrencies had reached a peak of $2.79 trillion. This remarkable growth was underlined by venture capitalist firms investing more than $27 billion in crypto throughout 2021, representing a nearly five-fold increase compared to their spending in 2020.

The expansion of the cryptocurrency landscape was further emphasized when US President Joe Biden signed a bill mandating all crypto exchanges to report to the IRS.

This regulatory move reflects the growing prominence of cryptocurrencies, creating a need for oversight and accountability.

Reflecting continued growth, the debut of the first Bitcoin ETF on the New York Stock Exchange in October provided traders with a more traditional investment opportunity.

Instead of purchasing cryptocurrencies directly, investors can now engage with companies financially tied to crypto, which introduces a degree of isolation from its inherent volatility.

Interest in cryptocurrencies extends beyond the private sector. Specifically, as of September 2021, the government of El Salvador mandated that all local merchants accept Bitcoin as legal tender.

This policy change influenced neighbouring Central American countries such as Honduras and Guatemala to explore the development of their central bank digital currencies.

In the United States, 27% of Americans surveyed expressed support for Bitcoin adoption, indicating growing acceptance of the cryptocurrency.

While some countries, notably China, are strongly opposing cryptocurrencies, the prevailing trend shows that most countries are actively considering ways to incorporate crypto into their financial systems.

The evolving global stance on cryptocurrencies highlights their growing importance in the financial landscape.

4. More People Get Their Money Professionally Managed

A rapidly emerging trend in financial management is the ascent of a new breed of wealth manager, the Registered Investment Adviser (RIA), which is increasingly becoming the default choice for many consumers.

An RIA is a firm regulated by the Securities and Exchange Commission, specializing in providing financial advice and supervising investments.

What sets RIAs aside from typical broker-dealers is their fiduciary duty to clients. This ethical obligation dictates prioritizing clients’ interests above their own when making financial decisions, fostering a high-touch, client-centric model that is gaining prominence in the United States.

As of the close of 2020, RIAs collective managed an impressive $110 trillion, sourced from over 60 million clients nationwide.

This contrasts sharply with the approximately $20 trillion managed at the beginning of the century. The RIA landscape has also seen a proliferation of firms, with just under 14,000 RIAs operating across the country, employing approximately a million people.

Despite this growth, 47% of RIAs believe that there is still considerable room for industry expansion.

A study conducted by Schwab disclosed that over half of investors express a preference for having a fiduciary, such as an RIA, manage their finances over any other model.

The burgeoning RIA sector’s expansion is prompting more Americans to consider entrusting financial management to these professionals.

5. The Rise of Decentralized Finance (DeFi):

The increase in popularity of decentralized finance trends (DeFi) platforms, and the use of blockchain to provide traditional financial services without traditional intermediaries, are poised for continued growth.

The democratic nature of DeFi attracts users seeking financial inclusion and autonomy. Still, navigating the regulatory framework and implementing strong risk management strategies will be critical to DeFi’s lasting success.

It is essential to strike a balance between innovation and regulatory compliance to foster trust among users, institutions and regulatory bodies to ensure secure and sustainable growth for decentralized finance across the broader financial landscape.

6. Banks overdraft fees

Overdraft charges have long been a thorn in the side of bank customers everywhere. They are known not only for being excessive but also for their tendency to snowball and reach absurd proportions.

Overdraft and non-sufficient funds revenues totalled $15.47 billion in 2019, according to the Consumer Finance Trends Protection Bureau.

Of course, this doesn’t mean that banks are going to stand up and get rid of them (although Ally Financial did just that last year and Capital One did the same in January), but many institutions are helping customers avoid the fees. Implementing new features designed to help. all costs.

Bank of America has added a feature called Balance Connect, which allows users to automatically transfer money from accounts to prevent potential overdraft fees.

There’s still a $12 fee per transfer, but it’s lower than typical overdraft fees. Also, it is less likely to increase dramatically.

PNC is offering a new feature called Low Cash Mode that will let customers change the order in which transactions are processed to avoid overdrafts.

JPMorgan Chase is giving customers more opportunities to restore overdraft balances before they are charged. They are also giving customers access to directly deposited paychecks two days in advance.

There are two major factors why banks are suddenly considering eliminating or reducing overdraft fees:

One, everyone is doing it, and no bank wants to be the last to charge overdraft fees. In an age where consumers crave loyalty programs, going in the opposite direction is a good way to go out of business.

Second, with the release of the CFPB report mentioned above, the agency announced its intention to focus on banks that, as Director Rohit Chopra puts it, “rely on overdraft fees to fund their profit models.” went”.

7. Banks move ahead to embrace the cloud

Banks were already gravitating towards the cloud pre-pandemic, but the pandemic speeded things up.

As people grow warier in physical contact, the demand for digital services rises, so banks need a way to scale up quickly.

Market research company IDC estimates that global spending on cloud services will exceed $1.3 trillion by 2025, just three years away.

Banks and credit unions will be a part of that, with heavy hitters like JPMorgan Chase and Arvest Bank already transforming part of their core systems to a cloud-native platform.

Jim Marous of The Financial Brand believes that cloud banking is the future, citing the fact that IBM has developed cloud solutions exclusively for the financial industry.

Microsoft introduced its offering last year with Microsoft Cloud for Financial Services.

According to Genpact, banking industry CIOs claimed that updating their applications to operate in the cloud helped their companies to adapt in 2021.

Another survey, this one conducted by Harris Poll and Google Cloud, showed that, of the 1,300 financial leader services surveyed, 83% of them were using the cloud as part of their primary infrastructure.

MANTL is one of the companies that is focused on the cloud banking market.
The company helps traditional banks expand into the digital market.

MANTL does this by developing products that allow banks to automate back-office functions, set up an online presence, and board customers digitally.

Overall, the company boasts that its customers can expect to receive four times more account applications with a digital offering powered by MANTL.

Artificial intelligence plays a big role in the adoption of cloud services. Not only does AI provide chatbots, but it can also analyze transactions, monitor suspicious activity, and perform other tasks just as well if not better than human counterparts.

Investing in AI would generally cost more than banks would be willing to consider, but if AI was packaged with cloud services, that would become a very attractive offer.

8. More People Download Personal Finance Apps

During the pandemic, downloads of personal finance apps grew roughly 90%.

Finance apps like Mint, Prism, and EveryDollar provided precisely what people were looking for and their popularity went through the roof.

These apps not only help people manage their money, but they offer ways to invest in stocks and cryptocurrency.

It’s not just the ability to manage your money remotely that’s attracting people, either. People particularly like having the power to run their financial world (literally) in the palm of their hand.

And as the US adopts open banking, which will make financial apps even safer, this number will probably increase. And sceptical users who harboured security concerns might be persuaded to take a second look.

Square’s Cash App remains the most popular personal finance app available, and amongst its list of benefits is a rewards system, which ties into what we discussed above about customer loyalty programs.


The finance trends landscape from 2024 to 2027 promises a paradigm shift marked by digital evolution, sustainability essentials, and technological innovation.

As blockchain and digital currencies reshape transactions, ESG considerations become supreme, and fintech continues to disrupt traditional models, the industry faces both challenges and opportunities.

Striking a balance between innovation and regulatory adherence will be crucial.

The convergence of AI, data security imperatives, and the ongoing impact of remote work underestimate a future where adaptability is key.

Navigating these trends collectively defines the trajectory of finance trends, urging stakeholders to embrace change and forge resistant strategies for a dynamic future.