In the News

In 2024, credit unions captured only 5% of new checking accounts, according to Cornerstone Advisors. That’s down from 10% in 2022. An aging customer base adds to the challenge.

"The whole concept of an AI-based browser is probably a bit premature, but PayPal is making the right move to be part of the drive to adoption," Tony DeSanctis, senior director at Cornerstone Advisors, said. "If they can get people onto Anthropic's browser and PayPal is the embedded credential, that is a first-mover advantage."

"Fraud teams are already overwhelmed by the number of alerts they are investigating, so many have to focus on the high-dollar losses and manage lower-dollar losses through their dispute processes," said John Meyer, managing director in Cornerstone Advisors' Business Intelligence and Data Analytics practice.

Recent research conducted by Cornerstone Advisors, commissioned by InvestiFi, underscores the enormous potential of Gen Z and Millennial investors waiting to be tapped.

Tony DeSanctis talks about "alternative rails" and other key trends in the payments space.

Visa is pausing its open banking product in the U.S., drawing attention to new regulatory and financial complications surrounding data sharing. "This highlights just how unsettled the space still is," said Chris Miller, senior director at Cornerstone Advisors. "Regulatory uncertainty and the possibility of higher fees could definitely slow adoption, especially for smaller players that can't afford compliance missteps."

Correll Davis, senior consultant at Cornerstone Advisors, said the firm’s assessment methodology—designed to measure “Data IQ” across five key categories—found that even the highest-scoring areas fall short of excellence.“There’s a lot of excitement around AI-based tools and platforms, but many institutions aren’t taking the first step of looking at how well they’re actually managing the data they already have.”

C&I is often seen as riskier than CRE lending. In terms of charge-off rates, CRE loans fare better than commercial loans, says Joel Pruis, a senior director in the commercial and small business segments at the consulting firm Cornerstone Advisors, though he notes that’s a “myopic view” of these different business models since it doesn’t take into account the better yields and other revenue streams that C&I credits garner. “If you’re heavy into C&I, then the net impact is you get better pricing to compensate for the higher charge-offs,” he adds. “The net performance is overall better.”

The partnership imperative is clear: Cornerstone Advisors’ “What’s Going On In Banking 2023” study confirmed that 70% of financial institutions now view partnerships as critical to their business strategies. Banks face a choice: Build fintech capabilities internally, which requires years and significant investment and execution risk, or partner with compliant fintechs that have already solved these problems.

The session features expert insights from Ethan Silver (Lowenstein Sandler) and Ron Shevlin (Cornerstone Advisors). Together, they'll explore how embedded investing can elevate your value proposition—while remaining compliant and competitive.