There’s a term I like to use that always gets a smile from my team because it’s not a word that you can find in the dictionary.
That term is “disruptification.”
And if you’re an investor, it’s a word you should always keep at the forefront of your mind.
Disruptification simply means that something — be it a company, an industry or a trend — is doing away with the old in favor of something new. In other words, it’s causing a disruption.
I look for these overhauls when I’m in search of the next great buying opportunity because they’re a sign of change. And in my experience, change almost always goes hand in hand with opportunity.
I had this thought in mind when I went to create this week’s Bold Profits Daily.
So today, I’ll explain what’s going on in the fintech sector — and why it’s now showing signs of disruptification.
To check out that video, click on the “play” button below.
A Phenomenal Opportunity Is Brewing in Fintech
Hi, this is Paul with your Bold Profits Daily!
Today, I’m going to tell you about an incredible opportunity sector in the market. And, like many of the mega trends and opportunities that I talk about, there’s this theme of the “old” and the “new.”
Invest in the new, and you could have incredible gains. Invest in the old, and you take the risk of — at the very least — underperformance, and long- term, complete wipeout.
In other words, these stocks are going to go away because of what these new companies are doing.
So first, let’s get to the new. Take a look at this chart. Between 2010 and 2017, private big-money investors have been pouring money — $100 billion — into this sector called financial technology, or fintech.
So, what is this?
Well, fintech essentially is using technology for finance, for money and , for banking — all of those parts of our economy and our society. And $100 billion going to go in there means that investors really see the chance to make a lot of money. That’s why they’re putting so much money into it.
When you go and look at finance and banking, it’s a huge sector. It’s a gigantic part of our economy, and of the world economy. So, it makes sense that if you are going to have winners, they are going to be huge. So, of course, you’d put a ton of money into it.
So you might be thinking: “Hey, Paul — if this is such a big deal, how come I’ve never heard of it?”
TAnd that’s because these are private companies, largely. Take a look at this second slide, and you’ll see these are the largest 10 financial technology companies out there.
Perhaps Maybe some of you have heard about it. For example, maybe some of you use the Robinhood brokerage app, which lets you trade for free. Maybe you’ve seen this Stripe payment system — and there are others out there. You can see what they are.
Now, the unfortunate part about financial technology is that the vast majority of these companies are private. However, they will , for sure, come public at some point in time.
And the growth prospects for these companies are so good — and the basic business that they’re in is so great — that I believe it will still be a good deal when they do come public.
Now, just to give you a sense of the kind of growth we’re talking about, let’s look at a little sub-segment of financial technology: mobile payments. Look at this: From 8.4 billion to over nearly 300 billion. That’s how much growth we’re talking is going to happen by 2021 in this one sub-segment of financial technology of mobile payments.
That’s growth of over 3,000%!
Now you can see why people are pouring money into financial technology and why these companies (that I put up in thehat second slide) are growing like gangbusters. Companies like Robinhood are seeing hundreds of thousands of people sign up for their services every day.
So, I mentioned before: Invest in the new, and you get growth of 3,000%. Invest in the old, and you will first see your stocks hanging around in a range, then periodically take a dive down, and then slowly keep going down. And eventually, over time, they are just going to get wiped out.
So, what are these companies? Now this is important, so listen up.
I know that many of you own these companies because they these companies have been tried and true —; they’re dividend payers and people think of them as being conservative. … However, in this world: no. These companies are a clear and present danger to your portfolio, and you should watch out for them.
These are companies like banks, money management firms and —, generally —, the old financial sectors that have been doing things the same way for 100 years now.
They have no innovation — and largely no interest in it — because it would mean that they would have to disrupt their existing business where they’re making a lot of money.
So, they are ripe to be “disruptified.”
Now, as I mentioned, the vast majority of these companies are private. And the few companies that are public, I’m going to save for our various services at Bold Profits, which are: Profits Unlimited, Extreme Fortunes, True Momentum and The $10 Million Portfolio.
So, if you’d like to get in early into this incredible, phenomenal sector that can generate 3,000% growth, check into our services.
Our base service is Profits Unlimited, so that’s the one to check into. Don’t miss out! This is an incredible opportunity and —, don’t forget —, also a huge risk if you own all those old companies.
So, that’s my Bold Profits Daily for you this week. I’ll have another one next week!
Until then, this is Paul, saying “bye.”
Out With the Old, Focused on the New
Fintech is just one of the “new world” areas that I focus my attention on. But in truth there are many different pockets of innovation causing disruptification.
I’ll highlight these different sectors in future Bold Profits Daily updates. But if you’d like to laser in on specific companies participating in these new trends, I recommend checking out my flagship Profits Unlimited newsletter.
In it, I show my readers the best and brightest of today’s top disruptors and walk them through exactly how to profit from each new opportunity.
That’s all I have for this week. I’ll be back to you next week with a brand-new Bold Profits Daily.
Editor, Profits Unlimited