Do you want to learn about fintech in the capital market. Here we will discuss about it thoroughly.
What is Fintech?
Fintech is an economic industry created by different companies that use technology to make financial services more efficient. Financial technology called Fintech is one of the fastest-growing areas for venture capitalists. It is about 40 years old.
Some popular companies like the lending club, kabbage, and wealth front are the most suitable examples of fintech. They make their money in multiple ways. They earn their profit through subscription and third-parties. They also make money by advertising different products.
It has a lot of applications and types which are divided into different categories. Here is the list of some major categories in the fintech market.
- Insurance
- Consumer banking
- Equity financing
- Individual financing
- Global transfer of money
- International and local payments are also considered as the category of financial technology.
- Lending process. Fintech is also changing this process.
Fintech in the capital market.
Capital markets are at an inflection point. Fintech innovations are disrupting and re-imagining their functioning like never before. This is true across primary and secondary markets, including those for equity and bonds. Access to capital is no longer limited to public platforms. Traditional forms have given way to new-age platforms such as crowdsourcing, private capital, and social investments. If one looks at the recent fintech innovations, these have broadly been in the areas of technology (business use cases), talent (new skill sets), and transparency (speed and availability of information).
As fintech players grow, they will expand capital markets not only by adding efficiency but also by creating value. Needless to add, Indian capital market players will need to adapt their models to collaborate with fintech players with the aim of generating greater value for the financial ecosystem as a whole.
China’s Financial technology has rapid growth. Chines people have saved more than any other country in the world. And most of the savings end up in bank deposits or housing investment.
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