The new era of the financial market

The digital revolution has promoted the democratization of access to services

In recent years, we have seen the financial market undergo several transformations, the most important of which is digital transformation. If previously trading on the stock exchange was done over the phone, today investors can, with just a few clicks, or even through bots, instantly buy or sell their shares. We have seen the industry go through a complete evolution, physical documents no longer exist and processes have been improved through the use of software, artificial intelligence and other technologies.

As a result of this movement, companies have had to adapt to new formats and more demanding customers, who are increasingly seeking more flexibility in deliveries, more accurate results and greater profitability.

Recently, we have witnessed another shift in the market, caused by the Covid-19 pandemic, which has led to the promotion and acceleration of the use of digital technologies, bringing about significant changes in the sector. An example is the rapid adoption and consolidation of Pix as a resource transfer tool, demonstrating more fluid and integrated digital experiences.

We’ve also seen significant growth in investments directed at fintech companies and native digital financial firms. Oliveira Trust, a digital financial platform that is a reference in money management solutions and credit services in Brazil, also followed this trend and invested in Liqi, a startup in the field of asset tokenization, which is nothing more than converting, using blockchain technology, a real asset into a digital asset , broken down into encrypted units (tokens).

At Oliveira Trust, in addition to ramping up the use of digital technologies and investing in innovation to ensure excellence and scalability, the field of IT has begun to operate with technological flexibility, i.e. adapting existing systems to a new process. More than 30 operations have already been carried out with this technological flexibility. A few years ago, it was impossible to do something like this.

In July 2019, we established our digital transformation arm, Fintools, which has over 50 employees dedicated exclusively to developing technologies and tools for the sector. Fintools works on two pillars. The first seeks to digitally transform the company, bringing more technology, development, infrastructure, and technology to work, while the second pillar proposes developing and delivering innovations to the company’s customers, through digital transformation.

Innovation has brought new products to market, such as cryptocurrencies and tokens, that are transforming our industry. The industry is taking a leap forward and entering a new era of securitization, creating endless possibilities. The digital revolution has fostered the democratization of access to financial services, increasing the demand for a market that demands speed and flexibility without losing security.

Looking at this movement, one cannot fail to note the importance, relevance and contribution of regulatory bodies, such as the Securities and Exchange Commission (CVM), which brought more security to operations, following the development of market and financial products.

With regard to FIDCs (Credit Equity Investment Funds), for example, the self-regulatory system changed the rule more than once to provide more security for operations, and the quarterly verification of documents showing support for credit managers is a good example. The Brazilian market was already well developed, but it is progressing. This is due to the identity verification mechanism, which also offers an international perspective.

I understand that today’s new era of financial market is directly linked to a digital, connected and seamless journey among all financial market agents. With regard to Oliveira Trust’s contribution to this process, I would like to reinforce our commitment to continue investing in technology and innovation to provide customers and the market in general with the best services and best solutions, as well as contribute to enhancing the importance of the money management and credit services sector to the capital market.

Alexander Lodi is the Managing Partner of the Oliveira Trust.

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