Open Banking is a new way of thinking, bringing the opportunity for a rebirth of the financial industry. FinTech companies (by definition) are willing to take some risks – to introduce new concepts and business models – backed up by investors. Until now, incumbent banks have led the financial industry, but the moment has come for challengers  to make their move and start using new Open API’s that PSD2 (Second Payment Services Directive) made available in Europe last March.
The PSD2 brings additional technology availability to the financial ecosystem along with a huge opportunity for corporations and economic groups to automate and robotize several financial functions related to cash management and cash flow forecasting. If you’re the Chief Financial Officer (CFO) of an economic group, you’ll be able to access and monitor, in one single place and in real-time, all bank accounts of all companies that belong to the group. This way, CFO’s and treasurers can optimize their short-term investments when there’s excess cash available or ensure cash buffers (serving as an early warning system) for potential cash shortfalls.
According to best practices , treasures should consider three dimensions:
If you would like to understand how to automate and improve the accuracy of your forecasts, please get in touch.
 Source: First Principles of Investing in FinTech, Greylock
 Source: J.P. Morgan’s View: Best Practices in Cash Flow Forecasting, J. P. Morgan