While bitcoin has generated some volatility, it has generally been a positive catalyst for FinTech companies, not dragging them along in its fall as from the beginning of May. Thus, the Global X FinTech Thematic ETF (
FINX: Better Than ARK's ETF Amid Bitcoin-Induced And Other Sources Of Volatility
Summary
- Most FinTech plays have invested in blockchain technology and as a result, have experienced some volatility.
- However, for investors, it is important to distinguish between using blockchain for optimizing operations and making an investment in bitcoins for shoring up the balance sheet.
- Also, an investment in FINX gives exposure to the whole ecosystem of financial technologies, far beyond blockchain.
- Comparison with Cathie Wood's ARKF reveals a better three-month performance, likely to be sustained throughout 2021.
- I have a target share price of $51-52 by the end of the year.
As a tech-focused industry Research Analyst, I aim to provide differentiated insights, whether it is for investing, trading, or informational reasons. For this purpose, I am not a classical equity researcher from the financial sector, but, I come from the IT world as the Director of Keylogin InfoTech and my insights are based on my own experience investing for 25 years.Also, my research is often backed by analytics and I make frequent use of charts to support my position.Based on losses during the GFC, I am often moderate and focus more on the direction and look for strategies to preserve capital. As per my career history below, I have wide experience, initially as an implementer in virtualization and cloud, and I was subsequently a team leader and project lead, mostly working in telcos.I like to write around themes like automated supply chains, Generative AI, telcos Capex, the deflationary nature of software, semiconductors, etc. and I am often contrarian. I also cover biotechs with more of a "techbio" focus.I have also been an entrepreneur in real estate ( a mediocre one), a business owner, and a farmer, and dedicate at least 5 hours per week to working on a non-profit basis. For this purpose, I help needy families by providing sponsored work and contributing peer reviews and opinions for enterprise tech.My investment journey started in mutual and indexed funds before later opting for individual stocks. Got a lot of experience in the 2008/2009 crash when I lost a lot due mostly to wrong advice. Since then I have done my research and have fallen in love with Seeking Alpha because of the unique perspectives it provides to someone investing hard-earned money as well as access to some of the best analysts.
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