"The advance of financial technology, or fintech, is going to mean the end of banking as we know it."
I have been hearing that chestnut since I started going to bank and technology conferences over 10 years ago. The young entrepreneurs were thrilled at the prospect of eliminating those stuffy old bankers once and for all with whizz-bang smartphone technology that handled deposits, made payments, and processed loans in the palm of your hand.
I would talk to bankers who were terrified those kids just might be right, and that technology would bury them.
But I never bought into any of it. My stock reply was not to worry, because in a year or two these scruffy young "geniuses" would get a haircut… and come begging for a partnership or vendor relationship with your bank.
It's just downright silly to think the rise of fintech will make banks obsolete.
About the Author
Tim Melvin is an unlikely investment expert by any measure. Raised in the "projects" of Baltimore by a single mother, he never attended college and started out as a door-to-door vacuum salesman. But he knew the real money was in the stock market, so he set sights on investing - and by sheer force of determination, he eventually became a financial advisor to millionaires. Today, after 30 years of managing money for some of the wealthiest people in the world, he draws on his experience to help investors find "unreasonably good" bargain stocks, multiply profits, and build their nest eggs. Tim tirelessly works to find overlooked "hidden gems" in the stock market, drawing on the research of legendary investors like Benjamin Graham, Walter Schloss, and Marty Whitman. He has written and lectured extensively on the markets, with work appearing on Benzinga, Real Money, Daily Speculations, and more. He has published several books in the "Little Book of" Investment Series and a "Junior Chamber Course" geared towards young adults that teaches Graham's principles and techniques to a new generation of investors. Today, he serves as the Special Situations Strategist at Money Morning and the editor of "Max Wealth" and Heatseekers.