While many buzzwords come and go, FinTech is having a real impact on financial services today and tomorrow. In simple terms, FinTech is financial technology and innovation used to challenge and compete with the delivery of traditional financial services. So what does this mean in reality?
While developed and emerging markets tend to grab the headlines, there is renewed interest in so-called frontier markets. These markets, not without risk, remain relatively untapped and offer the potential for significant long-term gains. Just ahead of unclassified markets, some frontier markets in the Asia-Pacific are on the verge of being upgraded to emerging markets.
Due to different time zones and markets around the world, it is now possible to trade a vast range of investments 24-hours a day, five days a week. The investment world is truly international, and while efficient low latency trading is essential, post-trade services are often overlooked. Is your broker delivering on global clearing and safe custody services?
The recent announcement that Vietnam’s economy grew by 2.6% during 2021 reflects the challenging times. The Covid pandemic led to strict lockdowns and heavily impacted economic growth. Indeed, the third quarter of 2021 saw Vietnam post negative GDP growth, the first time this has happened since 2000. However, foreign investors are optimistic about 2022, with a particular focus on the technology sector.
Investors and businesses have welcomed the creation of a new Beijing stock exchange that will serve the financial needs of Chinese entrepreneurs. Chinas close association with the Hong Kong stock exchange means this new trading platform could act as a feeder for successful start-ups. Due to the often volatile nature of start-ups and technology companies, the authorities have adjusted some historical restrictions.
If you’re starting a hedge fund in Hong Kong, a key concern should be on-the-ground knowledge and experience in the territory. To a large extent, the success of prime brokerage will depend on its ability to leverage relationships for mutual gain. Therefore, its important that they have proven and established commercial relationships within Hong Kong and the wider region.
For trade execution to take place efficiently and for all parties to have confidence in an individual trade and the markets overall, it requires the services of several different providers. Market infrastructure has evolved over the decades to provide an increasingly efficient and reliable prime brokerage service.
Prime brokers are a vital aspect of the global market architecture. Prime brokerage services facilitate large, active and complex trading operations. They provide services to hedge funds among other clients and co-ordinate extensive trading in various financial instruments.
Clearing is the process through which purchases and sales of a variety of assets and securities are reconciled. Funds will be transferred directly from one financial institution to another, and the safe custody of funds will be guaranteed before settlement.
When it comes to global markets, the US stock market has a commanding lead over its rivals. When talking about the US stock market, we usually refer to both the New York Stock Exchange (NYSE) and Nasdaq. More trade execution takes place on these two exchanges than any of their global rivals. The Hong Kong Exchange is the fifth largest exchange globally, some way behind its US rivals but more prominent than any of its European counterparts. This article compares the two markets.
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