In recent years there has been an obvious evolution in the markets. Technological companies have affected the investment industry, in what way? And how does that affect you?
If you have been in the investment market for a while, you may have seen the surfacing of online trading platform providers like XTrade.
Another of those changes has to do with the investment industry. Have you seen how companies like Apple, Amazon or Google have thrived in a really short time? What has been the cause of that growth, and what have been the consequences in the industry?
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Can Streaming Videos Disrupt the Investment Industry?
Have you downloaded the Amazon Fire TV, or bought any music from the iTunes Store? It sounds normal to you now, but think of it; Amazon was a shop, how come it is now streaming videos? The same applies to Apple, they are a computer/gadgets company that now sell music. How come? These companies, which already had a large number of clients, decided to broaden their services they provide to their clients, making themselves a way into other industries. Google follows the same pattern. They all want to give the client all what they can give, have them happy but with them, not anybody else. Does this only happen in the occidental world?
Not at all, this is a global thing. In China, for example, Alibaba—Amazon’s Chinese equivalent—drew an incredible amount of money from investors by initiating a money market fund back in 2013. All that shook the different investment industries. Knowing the potential of these companies, at XTrade you can trade their CFD shares online.
Some of the above mentioned companies are moving, slowly but steadily, into the retail banking sector by acting as the middle person between the seller and the buyer. Little by little they get to partner up with, and invest in, companies that belong to the financial industry, offering loyalty cards, online payments and comparisons.
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How does XTrade View The Future?
It is hard to predict whether the above companies will, in time, effectively board the banking industry. But it is clear that the decreasing trust of normal people in the banking sector, added to the fact that the financing sector is more and more dependant on technology, could seem like an open door.
You can see changes in other parts of the investment industry that are driven by the desire of making the most of these powerful companies too. For example, other innovators, aware that new investors with less money want to play the game, jump into the investment industry by creating products like CFDs which allow for less margin, thus opening up to many the road to the investment industry.
Since the situation seems quite likely to keep changing in the future, it is good to keep an eye on how these companies perform, what new avenues they have and what projects they undertake, because for a certainty that will have an impact on the investment industry which will have to adapt to survive. That is what they endeavour to do at XTrade. They analyse the changes, adapt, and give customers what they need.