Once upon a time there were banks, and there were only banks. This was the extent of the finanÂcial indusÂtry for the most part, and then came fund manÂageÂment and othÂer extenÂsions of the bankÂing and finance indusÂtry. But they were, for the most part, just that — extenÂsions of the existÂing strucÂture. Then the InterÂnet became ubiqÂuiÂtous, and out of the priÂmorÂdial online ooze crawled PayÂPal. SudÂdenÂly things were different.
Since then we’ve been introÂduced to a new verÂsion of the finanÂcial indusÂtry, known as finÂtech. A mergÂing of the finanÂcial indusÂtry and the digÂiÂtal revÂoÂluÂtion, finÂtech crawled slowÂly after PayÂPal become the major playÂer, and to some the only playÂer, in the emergÂing finÂtech world. But as all disÂrupÂtive indusÂtries do, finÂtech proÂgressed from crawlÂing to walkÂing, and today it is runÂning in full stride and gainÂing speed. Now we have mobile payÂments everyÂwhere, online bankÂing, and even crypÂtocurÂrenÂcies like BitÂcoin that threatÂen to crush the old bankÂing sysÂtem and pave the way for a new finanÂcial world altogether.
It’s no wonÂder that VCs are careÂfulÂly conÂsidÂerÂing new finÂtech starÂtups and throwÂing sigÂnifÂiÂcant investÂments at some. If you’re conÂsidÂerÂing jobs in finÂtech, it would be great to know who some of the more promisÂing up and comÂing comÂpaÂnies are in the secÂtor, so Media Jobs is hapÂpy to fulÂfill that desire by bringÂing you a short list of them that have enjoyed VC fundÂing through the secÂond quarÂter of this year.
A TradeÂstreamÂing surÂvey uncovÂered three trends in investÂments from a group of 40 VCs and which finÂtech comÂpaÂnies they’ve financed over the past three months.
1) Non-US investÂments — ComÂpaÂnies outÂside the US are getÂting VC attenÂtion, parÂticÂuÂlarÂly in the emergÂing marÂkets of Latin America.
ComÂpaÂnies worth notÂing include:
- TransÂferÂWise: InterÂnaÂtionÂal transÂparÂent monÂey transfers
- Nubank: DigÂiÂtal finanÂcial serÂvices comÂpaÂny in Brazil
- CapÂiÂtal Float: DigÂiÂtal finance comÂpaÂny tarÂgetÂing SMB’s in India
2) InvestÂments in B2C finÂtech comÂpaÂnies — Over 65% of the VCs inveastÂed in B2C finÂtech comÂpaÂnies, in large part due to the MilÂlenÂniÂal genÂerÂaÂtion and their demands for newÂer, betÂter, and more perÂsonÂal prodÂucts and serÂvices than preÂviÂous generations.
ComÂpaÂnies worth notÂing include:
- CirÂcle: InterÂnaÂtionÂal online payments
- DigÂit: serÂvice that checks spendÂing habits and autoÂmatÂiÂcalÂly sweeps monÂey into savÂings when possible
- BetÂter MortÂgage: helpÂing conÂsumers get betÂter mortÂgages online
3) InvestÂments in insurÂance techÂnolÂoÂgy — InsurÂance TechÂnolÂoÂgy is still in the crawlÂing stages, but may be a very promisÂing secÂtor in the years to come as issues in the traÂdiÂtionÂal insurÂance secÂtor (like the ongoÂing health care probÂlems) have entreÂpreÂneurs lookÂing at new and more holisÂtic solutions.
ComÂpaÂnies to watch here include:
- Clover Health: Low cost healthÂcare provider
- JetÂty: PropÂerÂty and casuÂalÂty insurÂance tarÂgetÂing millennials
- Bright Health: AffordÂable health insurÂance plans
There’s litÂtle doubt that the finÂtech indusÂtry will be a source of growth and employÂment in the future, and the wave is far from crestÂing yet. The comÂpaÂnies listÂed here are worth lookÂing into for anyÂone conÂsidÂerÂing a job in the secÂtor, and even if none of these are your perÂfect employÂer they can still give you good ideas about what you should be lookÂing for to find that perÂfect employer.