In a recent post on FxPro by Ron Finberg, he cites the fintech tends to watch during 2015, may they be “either high opportunities or stumbling blocks,” as “service-based investing,” robo investing (“anti-social trading”) and digital-based crowdfunding.
“Fintech was a great sector to be in during 2014, being the beneficiary of hundreds of millions, if not billions, of dollars of venture capital. The year ended with a bang, with alternative non-bank lenders LendingClub and OnDeck both going public,” observed Finberg. “Overall, the forces of momentum guiding the fintech sector are based on a perfect storm of emerging technology, public desire for financial transparency as well as government regulation beginning to favor capital market alternatives following the global financial crisis.”
Finberg discusses and debates opportunities for success and failure (mostly failure) of mobile-based commission free trading brokerage platform model and RobinHood the democratization of investing and robo investing noting leaders in the space, Wealthfront, Betterment and Nutmeg, and regulatory restrictions inherent to digital-based crowdfunding, including digital shares and bit coins. To read his full article, click here.