How to get into FinTech?
What is FinTech?
FinTech (or financial technology) refers to the use of technology to improve and automate financial services. It covers a wide range of products and services, including mobile payment systems, online lending platforms, and personal finance management tools.
Please let me explain these examples to you:
- Mobile payment systems: These systems allow individuals to make payments using their smartphones, tablets, or other mobile devices. Systems like these (e.g., Apple Pay or Google Pay) have become increasingly popular in recent years due to their convenience and security.
- Online lending platforms: Such platforms connect borrowers with investors, allowing individuals to secure loans online without going through traditional banks. These platforms (e.g., Avant or LendingClub) have disrupted the traditional lending industry and have made it easier for individuals to access credit.
- Personal finance management tools: These tools help individuals manage their finances, including budgeting, saving, and investing. These tools (e.g., Quicken or Mint) have made it easier for individuals to track their spending, set financial goals, and make informed financial decisions.
Some other examples of Fintech Companies are for instance Paypal and Robinhood.
PayPal is a digital payment platform that allows individuals and businesses to send and receive payments online. I believe it can be seen as one of the most well-known and widely used FinTech companies in the world. Robinhood on the other hand is an investment platform that allows users to buy and sell stocks and other securities through a mobile app. I think more young people are using technology now to invest and it’s changing how the industry works.
Various partners of treasuryXL are also FinTech companies. These companies offer different financial services to help businesses manage their financial operations. For example, Kantox is a FinTech company that specializes in helping businesses manage their foreign exchange exposures. TIS is a bank-independent payment platform that enables businesses to make and receive payments globally. Nomentia and Kyriba are comprehensive corporate treasury solutions that provide businesses with a range of treasury management services such as cash and liquidity management, financial risk management, and financial reporting. All these FinTech companies provide innovative solutions to address the needs of businesses in managing their financial operations.
How to start a career into FinTech?
In my understanding, starting a career in the FinTech industry requires a combination of education, skills, research, networking, and exploration. It’s important to gain relevant education and skills, depending on the type of FinTech job you are interested in. For example, if you want to work in software development, you should have a degree in computer science or a related field. Additionally, gaining practical skills through internships or online courses can be very helpful.
Researching the FinTech job market and screening the background information on LinkedIn of people already working in FinTech is also a good idea, it will give you an idea of the types of jobs that are available and the skills and experience that are in demand.
Furthermore, don’t forget to build your network. You can join industry groups on LinkedIn or attend FinTech events to connect with professionals who can help you learn more about the industry and potentially open doors to job opportunities.
You can also consider a FinTech graduate program if it’s available, it can provide you with valuable hands-on experience and help you build a network of industry contacts.
Finally, it’s important to explore different career paths within the FinTech industry, including roles in software development, data analysis, product management, and customer service, and look for opportunities that align with your goals.
How much does a career in FinTech pay?
Now comes the interesting part…how much does it pay! Well… it all depends on the specific role you’re in, and how much experience and education you have. To give you a rough idea:
Starting your career in FinTech, you can expect to make around $113,000 per year on average. But keep in mind that this can vary depending on where you’re located, and what specific role you’re in. For example, if you’re in an entry-level position like customer service or data entry, you may make a bit less. But if you’re in a more specialized role like software development or data analysis, you might make more.
When it comes to average salaries in FinTech, Salary.com puts it at around $130,000 per year. But again, this can vary depending on a lot of factors. If you’re in a management or executive position, you could be making over $150,000 per year. Some of the highest paying FinTech jobs include roles like chief technology officer, chief financial officer, and vice president of technology. Also, business development and sales roles are well rewarded. These roles typically require a high level of experience and education, and can have salaries of $150,000 or more per year. Other high paying FinTech jobs include roles in software development, data analysis, and project management.
It’s worth noting that these are just estimates, and actual salaries can vary quite a bit based on a lot of factors. And also, FinTech is a rapidly evolving industry, so salaries may change over time as the industry grows and changes. Should you still want to know more about FinTech jobs and salaries, feel free to contact me.
Other observations and conclusion
A lot of what is very normal today was rocket science only a few years ago. Consider doing payments with your phone, cheap automated currency exchange and getting a mortgage on-line…. When working in FinTech you can help change the future!
Remember that for every big success in FinTech, there are easily hundred failures. Often this is not related to the quality of the idea but on aspects like available funding, being able to do sales or finding IT talent. Like any other company Fintechs start small. SMEs require an other mentality than, for example, large banks where a lot of FinTech expertise is available. This aspect should not be underestimated. For this reason, many of our clients pay close attention to the personality of the candidate and value generalists and entrepreneurial spirits.
My conclusion is that a career in FinTech can be extremely exciting but risk is very prominent. And as treasury experts we know risk and reward are related. So think hard before you enter the industry and when you go, go full force.
Good luck!
