What Does 2022 Hold For Fintech Stocks?

What Does 2022 Hold For Fintech Stocks?

Close-up of logo for mobile payments company Paypal on paper, against a light wooden surface, April ... [+] 21, 2019. (Photo by Smith Collection/Gado/Getty Images) So what's the outlook for the theme? The opportunity for fintech companies is massive, considering the total size of the banking, lending, trading, investing, and insurance industries. Unlike the traditional financial services industry, which incurs high costs relating to branches, staffing, customer acquisition, and regulatory overhead, fintech players largely operate virtually, with asset-light models giving companies scope to drive margins if they build scale. That being said, it's difficult to predict the trajectory for fintech stock prices in 2022, given the rising interest rate environment and the possibility that investors could continue to limit exposure to pandemic winners. Think cryptocurrency could disrupt the banking industry? Looking for upside from Bitcoin adoption, without buying into the cryptocurrency itself? You can find more about our theme on Cryptocurrency Stocks Below you'll find our previous coverage of the Fintech theme where you can track our view over time. Our theme of Fintech Stocks - which includes digital payments and lending players, card networks, and insurance technology players - remains down by about 1% year-to-date on an equally weighted