Why fintech is high on the radar for this London Stock Exchange-listed company
Financial technology, or fintech, is finally getting the recognition it deserves as funding pours in and investors begin to warm up to its risky nature. Solving the technological shortcomings of banking institutions and easing payment processes while increasing consumer protection, companies under the segment have been quite instrumental in improving the quality of financial services for both customers and entrepreneurs. Following the success of Lending Club, WePay and Kabbage, dozens of fintech start-ups have entered the fray, and it didn’t take venture capitalists long to flirt with the idea of betting on them. According to the Economic Times, the industry is now worth US$4.7 trillion (AU$6.6 trillion), and have raked […]
Bitcoin lures as investors fret over uncertain markets
Investors appear to be increasingly turning towards bitcoins, rather than gold, as the best way to protect themselves against unpredictable financial markets. Worries that the US Federal Reserve could make good on its threat to raise interest rates before the end of the year pushed gold to a three-week low overnight, with the price of the precious metal dropping 2.4 per cent to $US1,147.30 a troy ounce. Although the Fed kept interest rates close to zero at this week’s meeting, it flagged the possibility of a rate rise in December, and this triggered a rise both in US dollar and US bond yields – both of which are negatives for […]
Investing opportunities in FinTech
Investment Investment in FinTech takes two directions. Firstly you can invest your funds into companies such as peer to peer lenders for them to distribute as loans. This takes the form of either direct investment for the wholesale investor or investment into managed investment schemes that administer the funds for a fixed return. Obviously as the level of management increases the returns will decrease but so too will the risk. The second approach that is starting to gain a foothold is to invest directly into the companies themselves through new ‘crowd funding’ platforms that provide you with equity for your investment. These equity raising platforms are great for anyone looking […]
