Bringing Fintech and Emerging Markets Together

James Bond, ASFA

Size of the opportunity

Three examples of trends:• Equitise – crowd source equity funding• Macrovue – themed investment• Calvert Investments research

• Bringing Fintech and emerging markets together

Size of the opportunity

• Australian superannuation $1.95 trillion– ASX $1.5 trillion– SMSFs $570 billion

• Annual contributions over $120 billion per annum

• Current asset allocation - the need for diversification– APRA regulated - 20 per cent in international equities– SMSFs very low investment in international equities

Equitise: Crowd Source equity funding

• Fintech Accelerator – Sydney hub

• Equity crowd source funding– The model– Australia being left behind

• Australian entrepreneurs relocating to New Zealand – First mover advantage

• Beer, wine and travel guides to retirement incomes– Emerging markets?

• Two-thirds of investors say they want their investments aligned to their values (67 per cent).

• 70 per cent of investors younger than 35 are likely to invest in social responsible investment.

• 65 per cent of women and 42 per cent of men view social, political and environmental factors as important in evaluating investments.

• In US assets in sustainable and responsible investment funds increased from $60 billion to $85 billion in past three years.

Calvert Investments research

• Australia has a lot of money to invest $2 trillion – more money must be invested offshore

• SMSFs potential

• Investor attitudes are changing

• Themed investment/ crowd source equity funding and emerging markets

Bringing emerging markets and Fintech together