2. This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2010 Gartner, Inc. and/or its affiliates. All rights reserved. Kristin Moyer Industry Advisory Services: Banking & Investment Services Emerging Trends Radar for Financial Services

3. The Most Important Emerging Technology Trend in 2012: From Siloes…

4. …To a Nexus of Forces Mobile Cloud Social Information NEXUS

5. Key Issues What is the financial services outlook for 2012? What is the emerging trend radar for financial services? How can Deloitte increase financial services revenue in 2012?

6. Banking & Investment Services CEOs are Gloomy About 2012 Prospects IT Spend Forecast, Total Spend, 2011-2013 ($USD Millions) IT Spend Forecast, Growth, 2011-2013 (%) Source: Forecast: Enterprise IT Spending for the Banking and Securities Market, Worldwide, 2009-2015, 4Q11 Update

7. Life and P&C Insurance CEOs are Not as Gloomy, but more Conservative in 2012 IT Spend Forecast, Total Spend, 2011-2013 ($USD Millions) IT Spend Forecast, Growth, 2011-2013 (%) Source: Forecast: Enterprise IT Spending for the Insurance Market, Worldwide, 2009-2015, 4Q11 Update

8. Financial Services CEO 2012 Business Priorities Business Priorities Ranking of Business Priorities from CxOs AllNorth America EMEA<$10 Billion >$10 Billion Increasing enterprise growth 11411 Reducing enterprise costs 2414=2 Implementing finance and controls 3328=3 Improve governance, compliance, risk and security 4238=4 Expanding into new markets/geographies 555=2=5 Consolidating, standardizing and streamlining operations 6710=4=9= Customer focus 710=5=10=7 Increase profitability 810=7=13=6 Implement enterprise strategy 98=12=2=13= Execute mergers and acquisitions, and partnerships 10127=128 Implement new and improved technology 11615711= Talent management and development 128=1413=9= Improve efficiency 1313=12=4=15 Attracting and retaining customers 1413=7=10=13= Improving business processes 15 10=13=11= N = 130

9. CEOs/CFOs are Using a Different Play Book than CIOs in 2012 Business Priorities Ranking of Business Priorities From CEO/CFO and Financial Services CIO Surveys CEO/CFOCIOs Increasing enterprise growth 11 Reducing enterprise costs 23 Implementing finance and controls 310 Improve governance, compliance, risk and security 48 Expanding into new markets/geographies 513 Consolidating, standardizing and streamlining operations 615 Customer focus 7- Increase profitability 8- Implement enterprise strategy 917 Execute mergers and acquisitions, and partnerships 1023 Implement new and improved technology 1120 Talent management and development 1218/19 Improve efficiency 136 Attracting and retaining customers 142 Improving business processes 1511

10. Emerging Trend Radar Screen for Financial Services less than 2 years to mainstream adoption 2 to 5 years 5 to 10 years more than 10 years Societal Technology Business Open Development Platforms Context-Aware Computing Component-based Core Applications Employee-less Financial Institution (Artificial Intelligence) Payment Services Hub Application-less Financial Institution Customer Control (“My ‘Bank’ Card”) PFM Extreme Individualization Social Commerce Radical Transparency FS-specific App Stores Customer-level P&L Value Added Services Revenue Model Re-engineering Profitability Complementary Currencies more Important than Fiat Currencies E7 FI Assets Eclipse G7 Cloud Financial Services Micro-products Application PaaS Mobile Big Data Hyperdigitization P2P Insurance, Banking

11. Incorporate Personal Financial Management in all Products and Services Wells Fargo: My Spending Report Next Two Years

12. Experiment with Open Development Platforms to Pursue New Opportunities Next Two Years

13. Use FI App Stores to Rapidly Deploy New Products and Services Next Two Years

14. Your Mobile Strategy is a Ticking Time Bomb But without an enterprise mobile financial services strategy… Your financial institution may have a mobile banking/insurance strategy and mobile payments strategy Your firm doesn't have a strategy to drive real revenue-leveraging mobility Next Two Years

15. Create Context-Aware Experiences 13 Customer Location Complex Simple Customer Need Customer Technology Environment Consumers Unbanked/ UnderbankedMerchantsSMBs Commercial Customers Customer Location : physical, social and virtual location and context, their identity or role at that time. Customer Technology Environment : choice, and availability (physical, battery life, etc ), operational competence, for both the technology and network Customer Need : customer objective, intent or desired outcome for their financial services need Next Two Years

16. Deliver Services at the Nexus of Mobile, Social, Cloud and Information everything systems people = Profile w/ social graph places = Activity stream and check in information = WWW & web services virtual entities physical objects = connected asset = URL Next Two Years The Internet of Everything is Here…

17. Case Example: SFpark — Smart Parking Meters Source: SFpark Next Two Years

18. Case Example – ICICI Bank

19. Five Things Deloitte Can Do to Increase Financial Services Revenue in 2012 Financial institutions use IT to thrive amidst turmoil in 2012 if they: Help CIOs close the disconnect with CEOs/CFOs Avoid wasted IT investments Develop an enterprise mobile financial services strategy Create context-aware financial services experiences Harness the opportunities (and address the challenges!) at the nexus of cloud, mobile, social and information

20. Competitive Landscape for Deloitte’s Five Opportunities (Discussion Draft) AccentureCapGeminiDeloitteE&YIBMKPMGPwC CIO disconnect Strong business consulting capabilities Solid business consulting capabilities Strategy a strength Business-led, IT-enabled approach Not as strong reaching CIO buyers Needs to improve traction at CxO level People, change and business effectiveness are strengths Not as strong with IT Strategy a strength People, change are strengths CxO relationships Avoid wasted IT investment Strong with EA Strong business ops improvement Core banking offering Could use a stronger market understanding Solid business ops improvement Technology services are a strength Strong business ops improvement Solid business ops improvement Weak EA IT strategy a strength Strong EA capabilities Strong business ops improvement Not as strong with EA Solid business ops improvement capabilities Solid business ops improvement Not as strong with EA or technology overall Enterprise mobile strategy Strong – views mobile as one of the top strategic growth engines of company Acquired Backelite (mobile apps, etc.) Building a Mobile Direct Store Delivery solution Strong – acquired Ubermind Has mobile FS experience Lacks compelling offering Strong – has experience with mobile banking and payments Lacks compelling offering Context- aware computing Channel experience through core banking Moderate front- office capabilities Potential here given strengths in mobile and nexus Weak mobile capabilities Strong technology skills and R&D will be a plus here Weak mobile capabilities Nexus – cloud, social, mobile, information Fairly strong with analytics; integrating its Interactive business into its business consulting group would be powerful Could use more investment in digital capabilities – but fairly pervasive use of analytics Very strong with BI services Some SaaS offerings Already pursuing nexus as market opportunity Should invest more in BI, but has acquired two firms recently in this area that should help Very strong with BI services, cloud Lacks a focused and integrated approach for digital offerings Has programs on how cloud computing enables new business models BI services could be improved Fragmented approach to digital business BI services could be improved (recent investments should help)

21. This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2010 Gartner, Inc. and/or its affiliates. All rights reserved. Kristin Moyer Email: kristin.moyer@gartner.comkristin.moyer@gartner.com Phone: +1.303.384.0131 To schedule a client inquiry, please contact: Email: vertical.industries@gartner.comvertical.industries@gartner.com Phone: +1.203.316.1122 or 44 1784 26 7997 Emerging Trends Radar for Financial Services