You Don't Have to Pick a Winner in Fintech. Here's Why.
Financial technology, or fintech, stocks have been all over the place in the past few years. In the pandemic bull market, they led the way with huge returns, but they crashed harder than most in last year's bear market. This year, it's a mixed bag as some have shot back up from their lows, while others are still struggling in a high-inflation, high-interest-rate environment.
Are those that are still depressed now good buys, or has something changed that affects their future growth prospects? And are those that are soaring higher now overpriced, or is there still room to run? You could probe these questions further in hopes of finding the winners, or you could tap into this dynamic area of the market through a fintech-focused exchange-traded fund (ETF) -- like the Ark Fintech Innovation ETF (NYSEMKT: ARKF).
There are only a handful of ETFs on the market that are purely focused on fintechs. That's not unusual, as this is a relatively new subsector of the market, even though financial technology companies like have been around for decades.
Source Fool.com
