It’s no secret that the big banks in Canada and around the globe are struggling to keep up with technological advances and shifts in society.
A Canadian bank like RBC for example hasn’t had to innovate a whole lot because for decades they only had 4 or 5 competitors, the other big banks who also didn’t innovate.
Then during the Dotcom era Fintech apps like PayPal starting popping up and taking some of the market share away from banks, but it wasn’t enough to really cause a ton of damage to the long standing giants. After the economic crash in 2008 an even greater window for change was opened up and venture capital money started to pour into the fintech sector.
Over the past couple decades there have been thousands of fintech startups, below we will highlight 5 influential companies that aren’t as obvious as the PayPal’s, Square’s and Shopify’s of the world.
iZettle, a Sweden based fintech company efficiently serves small businesses. What this fintech app does perfectly is that it allows small business owners accept cash and credit card payments from a smartphone or tablet. With additional cash drawers and receipt printers from iZettle one can also provide customers with printed or online receipts.
is useful tool that helps users to manage their financial lives by following a selected financial strategy. It serves as a digital financial advisor available both for desktop and mobile devices. With Wealthfront users can choose one of the account types, each aimed at achieving a particular goal: saving funds for college, retirement or saving money to accumulate wealth.
Their free planning experience helps people achieve either traditional milestones or unconventional financial choices.
After linking a users accounts, they apply their financial expertise and the relevant external data to help optimize their finances. This is done through AI without ever requiring the user to talk to anyone.
Wealthfront also provides automatic investing where they build a diversified portfolio of low-cost index funds that aims to maximize returns while then software maintains the users portfolio.
a Vancouver-based financial technology company that has attracted over 700,000 members. Mogo is significantly popular among millennials and has stellar reviews on every app store.
Mogo’s app does what the big banks have not been able to accomplish as of yet, keep users happy. The platform has been engineered to deliver a best-in-class digital experience, with best-in-class financial products all through one account.
Mogo offers 6 main services:
Canada’s first free credit monitoring solution – knowing your credit score is the first step to being financially fit and can help you on a path to accessing the best credit rates.
MogoProtect – Digital solution designed to help protect you against identity fraud. At $8.99/month, MogoProtect is the lowest cost identity fraud solution in Canada with real time alerts notifying you of hard credit checks on your Equifax bureau through a mobile app.
MogoCard – Control your spending and set your savings goal with Canada’s first digital spending account with a free Mogo Platinum Prepaid Visa® card.
MogoCrypto – Invest in bitcoin through Canada’s first and only mobile solution that allows members to buy and sell through an app without any funding or withdrawal fees.
MogoMortgage – Buy a home and focus on getting mortgage free. Mogo is the only mortgage broker in Canada offering the ability to track your mortgage within a mobile app.
MogoMoney – Access smart credit if you need it. MogoMoney is Canada’s digital loan solution with a “Level-up” program that rewards consumers for consistent payments and Mogo is the only consumer finance company offering the ability to track your loan through a mobile app.
Launched in December 2014, Robinhood is a zero-fee stock trading app that quickly gained popularity among financially ambitious millennials. When users buy or sell stocks on Robinhood, like many other brokerages, they send the order to market makers like Two Sigma, Citadel, and Virtu, instead of exchanges like NYSE.
Robinhood was paid the enormous compliment of having “cracked the millennial code” by none other than Jay Sidhu, CEO of Customers Bank and founder of BankMobile. Robinhood ranks above 4.5 in both iTunes and Google Play, and had 500,000 users lined up before its launch. To date, Robinhood has raised $66 million in total funding.
Disclaimer: Mogo is a paid client of High Energy Trading, click here to read full disclosure.
High Energy Trading is not a licensed broker-dealer, market maker, investment advisor, or underwriter. All information that we provide is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities.