By now, it has become clear to all of us that we live in an increasingly digitalized world. More and more people work and live, to a large extent, digitally. From the coffee, we drink while reading the news on a newspaper app on our cell phones. To the movie, we watch on a streaming platform at night. From the emails, we exchange with suppliers, customers, or co-workers to the multiple software we use in our daily lives. The management of our finances and our investments is not left out of this reality. Quite the contrary. That is why we need to talk about investments in the digital era.
The way companies operate has changed forever. Processes, marketing channels, communication, information processing... Digitalization has transformed business, the economy, and, therefore, finance.
Who would have imagined a few years ago that a person could invest their money fully autonomously from their living room? The digital revolution has transformed most areas of our lives. From the way we communicate to the way, we shop, to the way we manage our finances.
So today we invite you to talk about investing in the digital age, focusing on the ability of various forms of alternative financing to bring investment products to everyone, even if they don't have a large sum of money to invest.
The digitization of finance and investments
The younger members of the public will no longer remember the old notebooks. Those little passport-sized books that used to record the movements of our bank accounts back in the days of analog.
Today, if you want to know the status of your accounts, you don't have to go to the bank office to update your passbook. All you have to do is go to your bank's mobile or web application. There you will have all the information you want to know.
In addition, as we pointed out earlier, digitalization has had a huge impact on the way we shop. E-commerce or online stores have experienced a boom in recent years. Clothing, technological devices, food... all the goods and services we can imagine are just a few clicks away.
If we can buy almost anything online, why shouldn't we be able to invest our money online?
FinTech: New players for new times
Traditional banking has leaped digitalization, making it easier for people to carry out many actions via computer or cell phone.
But, in addition, in the heat of this revolution, innovative projects have emerged that combine in their very essence the world of finance with technological development: FinTech. If someone asks us to talk about investments in the digital era, we should pay special attention to the role played by FinTechs in the digitization of financing and investment, as well as in the access of any type of person or company to these services.
Precisely, the issue of access is at the very root of the expansion of the internet and digital devices. We can now access an immense amount of knowledge that was previously available to us.
Armed with a cell phone, we can immediately contact someone who lives on the other side of the world. We can enter the online store of a company located tens of thousands of miles away. And finance a business we will never see, located far away from our home.
FinTechs aim to facilitate access to financing and investment. And also allow investors and companies that need to obtain liquidity to access each other.
Thus, online alternative financing platforms, such as Inversa Invoice Market, provide savers and businesses with a cutting-edge technological base to make investments safely, outside the traditional banking system.
To propose that we talk about investments in the digital era is to take into account the disruptive role played by FinTech and alternative financing.
The benefits of the information age
Another key factor that explains why we talk about investments in the digital era is the ability to store, systematize, analyze and offer information visually. And, to be more precise, key data such as the credit rating of a given company.
Alternative financing marketplaces provide people with a wealth of information to consider when applying for financing, as well as when contracting a certain investment product.
This information gives individuals and businesses autonomy in terms of whether to invest or not and also contributes to the transparency of the whole process and provides certainty.
Let's talk about alternative financing, let's talk about investments in the digital era
After the financial crisis of 2008, the repercussions of which reverberated around the world for several years, the different forms of alternative financing have experienced constant growth.
Crowdlending or crowdfactoring marketplaces have emerged as alternatives to traditional financial sector institutions, facilitating access to liquidity for companies and investment for small savers.
The era of alternative financing thus emerges as a derivative of the digital era. A paradigm shift from one bank financing many companies. Too many people financing a company.
This paradigm shift opens up a very wide range of possibilities when it comes to conceiving investments in the digital era.
Thanks to alternative financing, not only can more people access investment products, make the most of their savings, and, in turn, support business projects in the real economy. But there is also a greater diversity of services available to channel these investments. This makes it possible to increase the offer and make it easier for investors to find products that meet their demands and desires.
Investments that can be recouped in the short term in a fast-paced world
Precisely, alternative financing platforms offer investors products in which they can recover their investments in the short term, which can be of great interest in today's volatile world.
When you invest your money, you tend to instinctively think: "what if I need it before I get my investment back?". In our liquid society, where major changes occur at high speed and disrupt the socio-economic system, having short-term investment products can be interesting.
In short, digitalization has transformed the way we invest, expanding investment channels and mechanisms, such as the services offered by alternative financing. In addition, it has democratized access to investment for small savers and increased their autonomy and ability to make fully informed decisions, thanks to innovative FinTech projects.
Let's talk about investments in the digital era to keep moving into the future.