Quantcast
Published On: Wed, Nov 11th, 2020

Financial Trends To Watch in 2020 and Beyond

As a new decade begins, the financial sector – like all other industries – has been hit with a double-whammy of a pandemic and the accompanying economic crisis. These have changed financial outlooks across the board. However, there are still some positive financial trends that market analysts, shareholders, and investors look to as signs that while finance may be changing, innovation is also occurring. 

The following are a few of the big financial trends to watch this year and in the coming decade:

Emergency loans during COVID-19

This is obviously one of the most unique and vulnerable times in American history as the pandemic has totally shifted discussions of healthcare and the economy. We’re seeing a cause and effect cycle of cash crunches at the top bottlenecking the usual lending practices below. Needless to say, many individuals and businesses are struggling financially and need help to supplement cash flow and investment. 

Installment loans are not uncommon in these situations and 2020 has seen a rise in emergency loans, too. Emergency personal loans bad credit can’t affect. For many Americans, such borrowing is essential not only for business needs but also personal day-to-day matters, like paying the mortgage and raising children during a historic healthcare crisis.

photo/Gerd Altmann

Data is King

The rise of data harvesting and analysis this century was expected to be a major force but few suspected it would have this much punch. Data, particularly the kind leveraged by Big Tech, will continue to dominate the financial landscape. In 2020, some experts see a push toward the personalization of Big Data via artificial intelligence, neural nets, deep learning, etc. Many corporations believe that AI tailored with sophisticated automation can personalize the data harvesting process with one-to-one marketing and produce high-level insights. 

Regardless of the pandemic and other uncertainties, data is still king for the foreseeable future. 

Taking on fraud

Fraud is one of the costs in the financial sector, costing companies billions of dollars every year. In the UK, analysts say fraud cost £130 billion in 2019 alone. But the negative effects go even beyond that, as fraud charges, identity theft, and other crimes can greatly tarnish a company or institution’s reputation. 

In 2020, a big financial trend is companies adopting highly sophisticated fraud monitoring services. This includes a “digital approval workflow” that secures documents and more safely processes invoices. Some companies outsource this work to third-party partners that specialize in IT solutions while many bigger corporations create their own in-house departments that constantly monitor the risks of fraud.

Blockchain and cryptocurrency

The rise of cryptocurrency as both a disruptive and innovative force in the financial sector is one of the bigger surprises this century has seen. Bitcoin, Ethereum, and dozens of other decentralized “alt-coins” have had meteoric rises in value and continue to sweep across the world in unexpected ways. Many Asian countries are leading the charge in this field, using cryptocurrency to bypass authoritarian governments and draconian financial legislation. 

What many people don’t realize – especially those who are skeptical of cryptocurrency – is that underlying and securing these ledgers are various forms of blockchain technology that are revolutionizing the way we think about money and centralized currency. 

Many industries now integrate blockchain platforms into their pipelines and companies use blockchain for security and many other advantages. Even major banks, financial institutions, and other tech companies – like Facebook, for example – have begun developing their own internal blockchain to help streamline payments and data.  We’re still in the early days of blockchain and cryptocurrency but you can expect to see those words for many decades to come.

There are many other financial trends to watch this year and throughout this decade, but the ones above are particularly interesting.

Author: Tina Tracy

All You Need to Know About Your Home Loan Sanction Letter

Were‌ ‌You‌ ‌Injured‌ ‌in‌ ‌a‌ ‌Rear-End‌ ‌Accident‌ ‌from‌ ‌someone‌ ‌Tailgating‌ ‌or‌ ‌following‌ ‌too‌ closely?

On the DISPATCH: Headlines  Local  Opinion

Subscribe to Weekly Newsletter

* indicates required
/ ( mm / dd ) [ALL INFO CONFIDENTIAL]

About the Author

- Outside contributors to the Dispatch are always welcome to offer their unique voices, contradictory opinions or presentation of information not included on the site.

Tags

Leave a comment

XHTML: You can use these html tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

Sign up for our Weekly Newsletter



Categories

Archives

At the Movies

Pin It