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J.P. Morgan rolls out mobile app for depositary receipt clientsBy
Financial institution J.P. Morgan is expanding its mobile portfolio with a mobile application that lets its depositary receipt clients manage their investments.
The app is an extension of the company’s Web portal and claims to be the first of its kind in the depositary receipt industry. The app is available for free from Apple’s App Store for J.P. Morgan DR issuer clients.
“Over the past five years, mobile banking has evolved from an experiment in innovation to an ROI-generating channel,” said Drew Sievers, CEO of mFoundry, San Francisco.
“Moving forward, mobile banking will be about driving top-line growth for a bank,” he said.
“In fact, according to my customers, mobile has rapidly become the bank’s most important channel for interacting with customers. It is mobile’s ability to cost-effectively drive revenue for a bank that makes it such an attractive channel.”
Mr. Sievers is not associated with J.P. Morgan. He commented based on his expertise on the subject.
J.P. Morgan did not respond to press inquiries.
The MFoundry platform works with one-third of the top 50 banks in the United States to power their mobile initiatives.
The J.P. Morgan DR Issuer app gives clients a way to access business information from https://www.adr.com via their handsets.
Using the app, clients will have access to daily trade reports, activity, issuances and cancellations. Similar to the company’s Web site, the app shows information to DR issuer clients in graphs.
The app also shows DR issuer clients SEC F-6 limit information.
The app also shows index and peer performance information.
The J.P. Morgan DR app serves a very specific need for clients and is an example of how the financial services industry has rolled out mobile initiatives that fit niche groups of investors.
Although the J.P. Morgan app claims to be the first in its industry, the differences between business and consumer banking is another example of how mobile banking initiatives are becoming more clear-cut and tailored.
“Business users have different use cases and needs than the standard bank customer,” Mr. Sievers said.
“For example, businesses need to approve large invoices for payment, and the approver may vary depending upon the amount of the invoice,” he said.
Bank on mobile
By making depositary receipt transactions via a mobile device, it points to the growing need for users to make complex, high-level transactions from their mobile deivces.
For example, Fidelity Investments recently added mobile deposits to its iPad app to let investors make quick deposits to a retirement account (see story).
The J.P. Morgan DR app is also an interesting example of a mobile initiative from a financial institution because its primary focus is on making information from a Web site available on a smartphone.
However, having a Web presence is not a prerequisite to a successful mobile initiative, per Mr. Sievers.
“There are many, many bank customers who do not use online banking – this is particularly true of younger bank customers,” Mr. Sievers said.
“Of course, you want to ensure that both channels can work together and not be sending conflicting information to the customer,” he said.
“Also, there are opportunities to create tight integrations between online and mobile. For example, a user in online banking could see a compelling statement offer and then send that offer to their mobile banking app. That type of integration is valuable.”
Lauren Johnson is editorial assistant on Mobile Commerce Daily, New York
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