Venture Capitalists Agree: Invest in FinTech

The 2008 Financial Crisis was an outright devastation for many, wiping out their savings and destroying their faith in a financial system that had been a natural part of their life for so long. Yet after the crisis faded, little really seemed to change in the daily business of the big banks.

This should be a worry to anyone who has investments or a stake in the banking field. Although the markets did rebound after the 2008 crisis, economists are warning that another crash is set to arrive in 2016. In fact, just in the first weeks of 2016, NASDAQ dropped 15% while DJIA lost 8%. Although these markets rebounded, the instability is still evident.

At the same time, however, the FinTech market is steadily growing. The worldwide adoption rate of FinTech in the last six months is 15.5% and, considering the most common reason for not using FinTech is the simple lack of knowledge of its existence, this adoption rate will grow as more people become aware of what FinTech offers.

The 2016 FinTech market continues to look bright, with funding holding steady and venture capitalists investing in FinTech entrepreneurs and startups. This is very important for anyone playing the stock market, but perhaps it holds an extra importance to those who are planning to retire on the strength of their investment portfolio.

This is not the only way FinTech is helping with retirement crises. Newer generations are still planning ahead and FinTech has ways to help them with their goals. Several startups have emerged, ready to do away with many of the issues plaguing the savings systems set up by the previous financial system.

The primary issue, naturally, is the 401(k) and the new FinTech companies offer alternative options (described as “simplified,” “elegant” and “affordable”), allowing workers to choose which method best appeals to them when funding their retirement, giving workers a sense of control when looking at their investments.

The largest company, Betterment, also offers tools and guides in order to help clients learn how to manage their retirement plans.

Retirement is the dream of most workers, the reason a lot of people make it through their years of work and it is very important to ensure that you have the funds available to you when it becomes your time to say goodbye to the rat race. FinTech is ready to step in and help where the big banks have failed.

 

 

For more information, download our free ebook at http://leadervest.com/e-books/

 

_____________

 

Welcome to the Leadervest experience. Founded after the 2008 Global Financial Crisis, we are Financial Services & FinTech specialists helping startups increase sales through sales & marketing consulting and believe in Investing in Others for more Responsible Leadership in Financial Services and FinTech.‎ We specialize in mobile payments/eCommerce, wealth/portfolio management robo-advisors, online lending, digital currency exchange, blockchain, big data & analytics, crowdfunding and insurance. Connect with us at Leadervest.com.