Low-code/no-code technologies revolutionise software development in financial services by enabling rapid, scalable, and customisable automation. Platform-centric and SaaS-based LCNC solutions, exemplified by valantic FSA’s x-gen, support financial institutions in managing evolving industry demands while optimising development resources.
The financial services industry experiences a significant shift in software development and automation, driven by the increasing adoption of low-code/no-code (LCNC) technologies. As the sector faces growing demands for faster, more flexible solutions, LCNC platforms emerge as essential tools enabling rapid application development with minimal hand-coding. These technologies optimise resource use, reduce operational costs, and empower not only software developers but also business users to build and customise microservices and applications independently.
Meeting industry challenges: The buy, build, and buy & build dilemma
Financial institutions traditionally confront a choice between purchasing off-the-shelf software (‘Buy’) or developing bespoke systems internally (‘Build’). Off-the-shelf solutions often impose inflexible contracts, rigid upgrade cycles, and limited customisation, which can impede operational efficiency and competitive agility. Conversely, in-house development demands substantial time, expertise, and investment, which may divert focus from core revenue-generating activities and strain internal resources.
To address these limitations, the ‘Buy & Build’ approach gains traction. This hybrid model combines pre-existing frameworks with extensible development capabilities, offering firms the flexibility to deploy fully functional systems rapidly while retaining the ability to customise and scale solutions according to evolving business needs. The Buy & Build framework resolves many challenges inherent in purely buying or building software by providing a balanced platform that supports innovation without creating excessive dependency on third-party vendors or internal development teams.
Evolution and characteristics of LCNC solutions
The Buy & Build concept evolves into three primary categories: extensible packages, development frameworks, and low-code/no-code platforms. Among these, LCNC platforms represent the latest advancement in accelerating digital transformation within financial services. They facilitate faster development and deployment through visual programming interfaces, drag-and-drop functionality, and reusable software components.
The industry-wide adoption of LCNC is propelled by several factors, including the rapid digitalisation of capital markets, a scarcity of skilled developers relative to demand, the need for swift market responses amid regulatory changes, and the widespread shift to remote working and cloud computing.
LCNC platforms broadly divide into two types: development framework-based and platform-centric solutions. Development framework-based LCNC environments provide runtime platforms requiring coding or scripting expertise, focusing primarily on automating data processing workflows. These systems tend to be complex and demand considerable user training. Platform-centric LCNC solutions, however, offer comprehensive ecosystems with pre-built connectors to financial applications, extensive libraries of reusable components, cloud-based integrated development environments (IDEs), and zero-code graphical user interfaces. This model enhances productivity by enabling non-technical users, often called citizen developers, to participate in application creation and supports complex business workflows efficiently.
Diverse use cases and vendor assessment
LCNC technologies find wide application in the financial sector, from automating manual procedures and replacing vulnerable spreadsheets to modernising extensive legacy core systems. Selecting the appropriate LCNC platform remains challenging for financial firms, as misalignment between business needs and vendor offerings may lead to suboptimal technology investments.
To assist buyers, a detailed taxonomy categorises LCNC vendors based on their value proposition—ranging from business solutions, application accelerators, to platform providers. Additionally, the taxonomy considers monetisation models such as development tool licensing, runtime environment licensing, and Software-as-a-Service (SaaS). Development paradigms vary from code generation and proprietary scripting languages to zero-code visual editors. The target users also differ, encompassing core developers, rapid application development specialists, and citizen developers with limited coding skills.
The rise of SaaSification
A prevailing trend in 2025 is the ‘SaaSification’ of LCNC platforms, where cloud-hosted software-as-a-service solutions incorporate low-code/no-code capabilities. Approximately 70% of business applications now integrate LCNC features, enabling developers to accelerate delivery by leveraging pre-built modules and templates. This approach facilitates swift customisation and streamlined deployment, making it increasingly attractive to financial institutions managing dynamic regulatory and operational environments.
Valantic FSA’s x-gen platform sets industry benchmark
Among LCNC platforms, valantic FSA’s proprietary solution, x-gen, sets a benchmark in workflow automation for the financial services sector. Designed to support payments, securities post-trade, and cryptocurrency settlement domains, x-gen offers modular deployment tailored to client requirements. Its low-code/no-code visual programming environment empowers users to control automation processes directly.
The platform adheres to industry standards, supporting messaging protocols such as SWIFT FIN, ISO 20022, SEPA, Target2, and FIX. x-gen boasts a highly scalable runtime architecture capable of processing high transaction volumes with low latency. It integrates smoothly with existing legacy and modern systems through a ‘plug-and-pay’ design, reducing manual intervention in trading workflows by up to 95%.
Through extensive experience and customisation capabilities, valantic FSA’s x-gen enables financial firms to transform complex business processes efficiently, addressing the increasing operational and regulatory complexities in capital markets.
Himani Verma is a seasoned content writer and SEO expert, with experience in digital media. She has held various senior writing positions at enterprises like CloudTDMS (Synthetic Data Factory), Barrownz Group, and ATZA. Himani has also been Editorial Writer at Hindustan Time, a leading Indian English language news platform. She excels in content creation, proofreading, and editing, ensuring that every piece is polished and impactful. Her expertise in crafting SEO-friendly content for multiple verticals of businesses, including technology, healthcare, finance, sports, innovation, and more.
