Development process of financial analysis and intelligence and technological innovations in the banking sector: Sentiment analysis as an application recommendation

Financial analysis and intelligence can be utilized by individuals, investors, financial institutions, public authorities, and many other legal entities to make investment decisions, customer analysis, debt collection, monitoring, and fund allocation processes, in addition to the customer acquisition processes of banks. Financial analysis and intelligence studies examine the financial statements of suitable customers/firms that have been cleaned up with necessary transfer processes, using generally accepted techniques, while investigating and incorporating their liquid structures and capitals, profile information, behavioral features, past rewards and achievements, as well as the presence of a limited or problematic situation. With globalization and developments in the financial system, the banking sector has increased its impact within the financial system. The banking sector observes its credit risk and takes action when necessary to maintain its position within the financial system. Financial analysis and intelligence studies are important for making healthy decisions regarding allocation, monitoring, tracking, and taking precautions. As the banking product range diversified with technology, the need to make quick decisions and take action quickly due to intense competition led to shorter decision-making and monitoring processes. While rapid decision-making and action-taking are positive in terms of competition and marketing activities, they may pose risks in terms of control and monitoring mechanisms. In this context, financial institutions have also experienced some innovations in their financial analysis and intelligence activities, similar to developments in the banking sector. These activities, which were initially carried out with manual and simple element sets, have become automated over the years and have become instantly measurable. Today, data is being collected at high volumes, structural or non-structural, and at high speeds, where significant changes can occur every day. Information such as customers' financial data, past payment habits, commercial histories, etc., is used as a whole or in part in banking activities. As developing technology brings innovations in social structure, it also changes communication tools, communication networks, social, and professional environmental factors. While instant communication is possible with social media widely used in recent years, access to many pieces of information can also be obtained instantly. It is known that election surveys, preliminary studies, analyses, and observations are made based on this information. As data sources diversify, there is an increase in the amount of data used, and on the other hand, the need arises to analyze them quickly and control them instantly when necessary. At this point, obtaining more data as quickly as possible, interpreting it correctly, and using it effectively is important. Based on the information obtained through intelligence sources, internal and external audit processes, suspicious transaction reporting and know-your-customer practices can be carried out by banks to comply with legal regulations and prevent financial crimes. Overall, financial analysis and intelligence play an essential role in the decision-making processes of individuals and institutions in the banking sector.