Trust and the future of financial intermediation
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- Master Thesis 
The purpose of this thesis is to explore how trust affects the future of financial intermediation following the PSD2-regulation. To research this topic we draw on a broad theoretical foundation involving research on financial intermediation, strategic resources, technological shocks, cognitive perceptions and trust. The study has a mixed methods design with three seperate forms of data collection. The first is semi-structured interviews with industry experts on fintech and financial intermediation. The second is a survey that tested how a group of brands scored in three different trust dimensions. The third is an experiment with a questionnaire involving a fictitious fintech app which was provided by three brands, which we selected through the previous survey based on their trust levels. From this data, we analyze and study the importance of trust for financial intermediation services and the transferability of trust between different domains. Through our analysis and research we found three key insights on the topic. Firstly, we found that integrity-based trust has the most impactful effect on behavioral intention towards use of financial services. Secondly, we found that integrity-based trust and benevolence-based trust is more transferable between domains than ability-based trust. Thirdly, we expect that integrity-based trust will become less important in financial intermediation as the domain and its services move further away from traditional financial intermediation following technological change. Overall, our findings suggest that trust is integral for financial intermediation and that it still provides incumbents a competitive edge. However, regarding the future of financial intermediation we expect that technological change will alter the relative importance of the trust dimensions. The reasons for this change will be the drivers of disintermediation of finance and changes in consumers’ cognitive perception in reaction to technological change.