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February 27, 2025
The Board of Equity Story Group Ltd (ASX: EǪS) ("Equity Story" or "the Company") is pleased to announce that Capital Haus Pty Ltd has acquired an 11.6% strategic stake in the Company at 2.6 cents per share, aligning with the last traded price on the ASX.
Capital Haus, a wealth management firm with offices in Australia, Dubai (U.A.E.) and Switzerland, specialises in tailored investment solutions for high-net-worth individuals, family offices, endowments, institutions, and foundations. Their collaborative approach focuses on developing lasting partnerships and providing comprehensive financial strategies.
As part of this strategic investment, Mr. Brendan Gow, Founder and Managing Director of Capital Haus, has joined the Equity Story Board as an Executive Director responsible for Operations. Mr. Gow brings over 17 years of global experience in wealth and financial management, having worked in Australia and the Middle East. He is recognised for his innovative approach to asset management and is a regular contributor to financial publications, including Yahoo Finance and Forbes.
Shane White, CEO of Equity Story, stated:
"This is an exciting and pivotal moment for Equity Story. Capital Haus’ investment represents far more than financial backing—it is a strategic alignment with a progressive global wealth management innovator that shares our vision of empowering investors with knowledge, comfort and choice. Brendan’s deep expertise and extensive international network will be invaluable as we accelerate our expansion. We are quite pumped about the strategic initiatives we are developing together. This is just the beginning of a transformative period for Equity Story, and we look forward to sharing more milestones with our shareholders."
Equity Story and Capital Haus will collaborate on new strategic initiatives to comprehensively support clients, members, and shareholders.
Mr. Gow’s remuneration for his executive position will be $104,000 per year subject to performance-based metrics (company revenue, funds under management and clients) assessed and reviewed quarterly.
As previously announced, Equity Story recently appointed a new Chairman, Mr. Ross Landles, and entered a new licencing partnership. Equity Story sees the collaboration with Capital Haus as another substantive step in its growth and expansion strategy.
Brendan Gow, Founder G Managing Director of Capital Haus, commented:
"Capital Haus is delighted to become a strategic investor in Equity Story. The Company’s growth opportunities, innovative approach to investor education, and expanding wealth management services align perfectly with our philosophy of delivering high-quality, tailored financial solutions. Our shared commitment to enhancing investor access to high-quality financial tools and opportunities will drive long-term value for our clients and shareholders. I am excited to join the Board and contribute to the next chapter of Equity Story’s success."
Capital Haus will be issued with 19,230,770 shares voluntary escrowed for 12 months from issue for the consideration of $500,000.02, utilising the Company’s placement capacity under ASX Listing Rule 7.1 (5,341,075 shares) and 7.1A (13,889,695 shares), together with 12,820,513 options with an exercise price of 5 cents, expiring on 19 December 2026. The options are subject to shareholder approval and the shares are expected to be issued on Monday, 3 March 2025. Funds from the placement will be used to expand the Company’s wealth management service offering and general working capital.
Click here for the full ASX Release
This article includes content from Equity Story Group Limited, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
28 May
Fintech Firm Velocity Raises US$10 Million for Enterprise Stablecoin Infrastructure
In what is believed to be the largest European pre-seed funding round of the year, UK fintech startup Velocity has emerged with US$10 million in early backing to develop a stablecoin infrastructure platform.
The initiative is aimed squarely at large enterprises grappling with outdated cross-border financial systems.
The round, led by US-based Activant Capital, brings together global investors and fintech insiders, underscoring growing confidence in stablecoins as a practical tool for enterprise-grade settlement — not just crypto speculation.
Founded by payments veterans Tom Greenwood (Volt, IFX) and Eric Queathem (Worldpay, McKinsey & Company), Velocity aims to modernize the back-end plumbing of global money movement.
Rather than displacing traditional finance, the startup sees itself as a connective layer between banks and the blockchain, offering modular infrastructure that enables businesses to operate seamlessly across fiat and digital currencies.
“We’re not chasing crypto hype,” Greenwood, who serves as CEO, said in a statement. “We’re leveraging stablecoins to remove friction, accelerate settlement, and drive improved performance in real-world financial operations.”
That friction remains a massive challenge in today’s corporate finance landscape.
Large businesses routinely rely on patchwork systems for international payments, liquidity and currency management — often involving multiple banking partners, outdated software and opaque fees.
Velocity says it is addressing that complexity with a programmable, artificial intelligence-enabled platform that integrates stablecoins into traditional financial operations without requiring companies to overhaul their existing systems.
Greenwood and Queathem bring decades of experience to the table. Greenwood previously founded Volt, a fintech firm focused on real-time payments, and IFX, a foreign exchange and payments firm. Queathem spent nearly 10 years at Worldpay, where he led global strategy during its expansion into both legacy and crypto-enabled markets.
“We’ve experienced first-hand the financial complexity of operating a global business — the fragmentation of providers, the lack of transparency, and the workarounds,” said Queathem, who holds the position of president.
“Velocity is built to eliminate that friction with infrastructure that scales, adapts, and solves the real-world problems large enterprises face every day when moving and managing money around the world.”
Their pitch appears to have resonated with investors who see a broader shift underway. Fuel Ventures (LSE:FVV), Triton Capital, Fabric Ventures, Commerce Ventures and Preface Ventures all joined the round, alongside strategic angels from companies like Visa (NYSE:V), PayPal (NASDAQ:PYPL), Circle and Alphabet (NASDAQ:GOOGL).
For lead investor Activant Capital, the startup's timing aligns with what it sees as a generational opportunity to reshape how capital flows. “Tom and Eric bring the rare technical depth and regulatory fluency needed to build and scale a product like this,” said Andrew Steele, partner at Activant, in Wednesday's (May 28) release.
“We’ve shared this vision for years — and now is the time to bring it to life.”
Far from being a headwind, Velocity sees that regulatory movement as validation that the infrastructure moment for stablecoins has arrived. While Velocity hasn't disclosed specific clients or product launch dates, early pilot programs are underway, with large enterprises exploring digital treasury functions and cross-border liquidity optimization.
Don’t forget to follow us @INN_Technology for real-time updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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09 January
Top 5 NASDAQ Fintech Stocks (Updated January 2025)
Fintech, or financial technology, has become an integral part of everyday life, and many US fintech stocks are seeing success.
Firms like Boston Consulting Group and Silicon Valley Bank are projecting growth in the market, and since the fintech umbrella covers such a wide range of companies, diverse businesses can profit as the industry develops.
Read on for a look at the NASDAQ's best-performing fintech stocks of the year. Data was gathered using TradingView's stock screener on January 8, 2025, and companies with market caps of at least US$50 million were considered.
1. Sezzle (NASDAQ:SEZL)
Year-over-year gain: 1,241.19 percent
Market cap: US$1.39 billion
Share price: US$248.12
Sezzle is a buy now-pay later (BNPL) fintech company that launched in 2016. Its digital payment platform provides an alternative for millions of consumers with limited access to traditional credit.
Sezzle offers a full-suite of interest-free installment plans at online stores and select in-store locations across the US, Canada and Australia. It is the only BNPL platform in North America to offer credit reporting optionality through its Sezzle Up program, allowing users to build credit.
As of September 2024, Sezzle had an estimated 529,000 active subscribers. Since its inception it has generated US$8.1 billion in underlying merchant sales, and 15 million completed sign ups. The company achieved its first quarter of profitability in November 2022.
Sezzle’s stock increased in value gradually in the first half of 2024 to reach over US$78 per share in early August. After the company released its positive Q2 2024 financials, its share price shot up to US$106.50 on August 8. The report showed that total revenue (less transaction related costs) reached a record high for the quarter, up 71.7 percent year-over-year to US$32.2 million.
The company’s share price continued to climb, hitting US$170.59 by the end of the third quarter. After releasing its stellar Q3 2024 financial report on November 7, which showed total revenue growth up 71.3 percent year-over-year, its stock value skyrocketed from US$250.47 to US$431.48 in one day.
Shares in Sezzle reached their yearly peak of US$464 on November 25, before pulling back to the US$260 range by the end of the year following a critical short report released by Hindenburg Research on December 18.
2. Dave (NASDAQ:DAVE)
Year-over-year gain: 859.06 percent
Market cap: US$1.09 billion
Share price: US$85.26
Dave is a US-based neobank and a pioneer in the fintech space. The company offers digital banking services through its mobile banking app, launched in 2017. Its offerings include the Dave Debit Card through a license from Mastercard, and its ExtraCash cash advance program. Dave partners with Evolve Bank & Trust, an FDIC member.
Dave’s share price has benefited greatly over the past year from the company’s record-setting growth quarter after quarter. In May 2024, its Q1 2024 financial report highlighted record revenue of US$73.6 million, up 25 percent year-over-year. The company’s share price jumped over 12 percent in one day to US$52.30 on May 7.
But it was the company’s Q3 2024 financial report that really rallied the stock. Dave saw its revenues for the quarter rise by 41 percent year-over-year to US$92.5 million, the company’s fourth consecutive quarter of year-over-year revenue growth. In response, the value of the fintech stock surged from US$62.80 to US$90.43 per share. Shares in Dave hit their yearly peak of US$103.96 on December 17.
3. Root (NASDAQ:ROOT)
Year-over-year gain: 600 percent
Market cap: US$1.17 billion
Share price: US$77.42
Founded in 2015, Root is the parent company of Root Insurance Company, which through the Root app brings data science and technology to the auto insurance market. Currently operating in 34 states, it is the largest insurtech company in the United States.
Like the other tech stocks on this list, Root’s share price over the past year has been driven in large part by its excellent quarterly financial performance. After posting its Q4 2023 financials, which included the best bottom-line quarterly results in the company’s history, Root’s share price grew by more than 350 percent from February 21 to US$39.11 on March 1, 2024. The following month, Root’s stock value had more than doubled to US$82.90 on April 5.
The company’s Q3 2024 financials report was also a significant catalyst for the stock. Root achieved net income profitability for the first time in its history on both a quarter-to-date and year-to-date basis. Shares in Root grew by nearly 69 percent from US$40.49 on October 30 to US$68.39 on October 31. The stock reached its yearly peak of US$109.40 on November 21.
4. Robinhood Markets (NASDAQ:HOOD)
Year-over-year gain: 233.14 percent
Market cap: US$36.08 billion
Share price: US$40.81
Robinhood Markets is a California-based fintech company that offers commission-free stock trading and emphasizes “democratizing access to the markets for millions of investors.” On its digital platform, users can trade stocks, options, commodity interests and crypto. In June, the company said it will acquire global cryptocurrency exchange Bitstamp.
Robinhood’s stock had its best quarter of 2024 in Q4. On October 30, the company released its Q3 2024 financials, highlighting its second highest revenues on record (up 36 percent year-over-year to US$637 million). Additionally, its year-to-date net deposits of US$34 billion and year-to-date revenues of US$1.94 billion were both higher than any prior full year period.
In its October 2024 operating data report released on November 11, Robinhood reported funded customers at the end of October were 24.4 million, which was up over 1 million year-over-year. Additionally, assets under custody totaled US$159.7 billion, up 5 percent from September 2024 and up 89 percent year-over-year. The following month, the company reported its November 2024 operating data, which showed funded customers had grown to 24.8 million and assets under custody hit US$195 billion.
Shares in Robinhood grew by more than 66 percent over the fourth quarter to US$37.26 on December 31, 2024. The company’s highest yearly peak came on December 16 at US$43.20.
5. Priority Technology Holdings (NASDAQ:PRTH)
Year-over-year gain: 215.79 percent
Market cap: US$880.06 million
Share price: US$11.40
Priority Technology Holdings is a payments and banking fintech firm that provides services to more than 1.1 million active customers spanning small to medium businesses, business to business and enterprises. Its platform allows for the collecting, storing, lending and sending of money.
Priority is another fintech stock on this list that had a great fourth quarter in 2024. Shares in the company rose 88 percent over the period to reach US$11.75 per share on December 31.
In its Q3 2024 financials, Priority's reported revenues were up 20.1 percent year-over-year to US$227 million. Adjusted gross profit grew by 18.9 percent to US$86 million over the same period, and its operating income rose 62 percent to US$38.1 million.
Priority’s stock value reached its highest yearly peak of US$12.29 on January 3, 2025.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
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25 December 2023
Top 5 NASDAQ Fintech Stocks (Updated December 2023)
Fintech, or financial technology, has become an integral part of everyday life.
Firms like Fitch Ratings and McKinsey & Company are projecting continued growth in the market, and since the fintech umbrella covers such a wide range of companies, diverse businesses could profit as the industry develops.
Read on for a look at the top-performing NASDAQ fintech stocks of the year. Data was gathered using TradingView's stock screener on December 20, 2023, and companies with market caps of at least US$50 million were considered.
1. Opendoor Technologies (NASDAQ:OPEN)
Year-to-date gain: 242.8 percent; market cap: US$2.69 billion; current share price: US$4.01
The top-performing NASDAQ-listed fintech stock this past year was Opendoor Technologies. First launched in 2014, Opendoor is a leading e-commerce platform for residential real estate transactions.
Rising interest rates have not been kind to the real estate market, and this was reflected in the company's quarterly financial reports for much of the year. However, there are signs that the US Federal Reserve will soon cut rates, which could bring fresh life to the real estate sector. This optimism has helped buoy Opendoor's share price.
After starting out the year at under US$1, shares of the company rose to a year-to-date high of US$5.41 on August 1. They fell back to the US$2 level in the fall, but Opendoor shares are trending upward as the year comes to a close.
2. Upstart (NASDAQ:UPST)
Year-to-date gain: 223.64 percent; market cap: US$3.71 billion; current share price: US$43.63
Upstart uses machine learning and artificial intelligence to reduce lending risk and costs for its bank partners, while providing applicants with access to affordable credit. It provides personal loans, car loans and debt consolidation.
Upstart's new partners for 2023 are numerous, and include the Bank of Denver, as well as several federal credit unions, such as CorePlus, Texas Bay, Arbor Financial and Farmers Insurance. The company has also partnered with auto dealers Acura and Mercedes-Benz Group (OTC Pink:MBGAF,ETR:MBG).
Shares of Upstart rose from a year-to-date low of US$11.93 on May 3 to a high of US$72.58 on August 1.
In its Q2 report, released in early August, Upstart co-founder and CEO Dave Girouard said, "As a result of our efforts over the past year to improve efficiency and operating leverage in our business, we achieved record-high contribution margin and positive cash flow in Q2." Highlights from the company's Q3 report, released in early November, include positive EBITDA for the second straight quarter with contribution margins near record highs.
3. Inter & Co. (NASDAQ:INTR)
Year-to-date gain: 139.86 percent; market cap: US$2.134 billion; current share price: US$5.31
Next on this list of the top NASDAQ fintech stocks is Brazilian digital bank Inter & Co., which through its Super App provides financial and digital commerce services to more than 29 million customers. The app offers banking, investment, credit, insurance and cross-border services, and provides access to a marketplace of retailers in Brazil and the US.
The company released its Q1 report in early May, showing total gross revenues were up 6 percent quarter-on-quarter and were 41 percent higher year-on-year. In its Q2 report, released in mid-August, Inter put up another 33 percent year-on-year increase for total gross revenues, and achieved a number of major profitability milestones.
Published in November, Inter's Q3 report continued this positive momentum for the company. "Quarter after quarter, we are showing that we have created a virtuous cycle: the more value we offer to clients, the more they reward us with their business across our diversified banking platform," commented CEO João Vitor Menin. "As our scale and profitability grows, we are empowered to continue innovating, and the cycle starts anew."
Shares of Inter rose from a low of US$1.37 on March 23 to a year-to-date high of US$5.95 on November 21.
4. Root (NASDAQ:ROOT)
Year-to-date gain: 139.5 percent; market cap: US$152.716 million; current share price: US$10.46
Founded in South Africa in 2016, cloud-native end-to-end insurance platform Root gives organizations the ability to build, sell and manage digital insurance products through easy-to-use APIs. The company has plans to expand into the UK and Europe.
“Root Insurance is like cloud services for the insurance industry,” Root CEO Louw Hopley has explained. “It gives software developers all the building blocks they need to create and launch a fully compliant insurance product in a matter of days. The platform not only reduces costs and time to market drastically, it also takes care of administering the insurance policies – everything from issuing policies to collecting premiums and handling claims.”
Root's share price hit its highest point for the year on June 22, reaching US$14.80.
5. Jiayin Group (NASDAQ:JFIN)
Year-to-date gain: 130.44 percent; market cap: US$285.604 billion; current share price: US$5.26
Last on this list of the year's top-gaining NASDAQ fintech stocks is Jiayin Group, a leading fintech company in China that uses big data analytics to assess the risk profiles of borrowers.
In its Q1 report, the company posted a 119.5 percent increase to its net revenues compared to the same period the previous year. In the second quarter, its net revenues saw a 57.4 percent increase over the same quarter in 2022, while the third quarter brought a 64 percent year-on-year increase in Jiayin's net revenues.
"These results once again prove that our development path is healthy and sustainable, and our strategy is precise and practical," noted Yan Dinggui, the company’s founder, director and CEO. "We are confident and capable of continuously creating value for our investors and growing into a significant player in the global fin-tech industry.”
Shares of Jiayin hit a year-to-date high of US$8.19 on June 5.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
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21 December 2022
Top 5 NASDAQ Fintech Stocks (Updated December 2022)
Fintech, or financial technology, has become an integral part of everyday life.
Firms like Fitch Ratings and Allied Market Research are projecting continued growth in the market moving forward, and since the fintech umbrella covers such a wide range of companies, diverse businesses could profit as the industry develops.
Read on for a look at the top-performing NASDAQ fintech stocks of the year. Data was gathered using TradingView's stock screener on December 12, 2022, and companies with market caps of at least US$50 million at that time were considered.
1. SurgePays (NASDAQ:SURG)
Year-to-date gain: 261.5 percent; market cap: US$90.66 million; current share price: US$7.33
Technology and telecommunications firm Surgepays provides fintech services with its blockchain-based platform that features a suite of financial and prepaid products. The company provides mobile broadband to low-income consumers across the US.
In November, SurgePays posted its financials for the third quarter, highlighting revenues of US$36.2 million, an increase of 149 percent compared to the same period in 2021. The company also surpassed its 2022 year-end goal of 200,000 mobile broadband subscribers. Later that month, SurgePays closed on a US$25 million senior secured credit facility, saying it received about US$15 million at closing. Shares of SurgePays reached their peak for the year on December 5 at US$7.61.
2. PaySign (NASDAQ:PAYS)
Year-to-date gain: 70.81 percent; market cap: US$141.07 million; current share price: US$2.72
PaySign is a leading provider of prepaid card programs, comprehensive patient affordability offerings, digital banking services and integrated payment processing. Through its platform, the company provides services such as transaction processing, cardholder enrolment, value loading, cardholder account management, reporting and customer service.
PaySign's share price hit its highest level this year on August 29, coming to US$3.27. The price bump came after the company shared its Q2 financial results, including total revenues of US$8.6 million, an increase of 29 percent year-on-year. The company continued this positive streak in Q3 with revenues of US$10.6 million, a rise of 36.4 percent year-on-year.
3. Futu Holdings (NASDAQ:FUTU)
Year-to-date gain: 49.36 percent; market cap: US$10.03 billion; current share price: US$65.39
Futu Holdings offers a fully digitalized brokerage and wealth management platform for investors. The company's proprietary digital platforms, Futubull and moomoo, provide investing services that are accessible via any mobile device, tablet or desktop. Futu's main fee-generating services include trade execution, margin financing and securities lending. Using these services, investors can trade securities such as stocks, exchange-traded funds, warrants, options and futures across a variety of markets.
Futu shared its Q3 financials in November, featuring a 12.4 percent year-on-year increase to total revenues, which came in at US$247.9 million. The company also saw its total number of paying clients increase by 23.8 percent year-on-year to reach 1,444,955 as of September 30. Shares of Futu Holdings reached a 2022 high point of US$65.39 on December 12.
4. CPI Card Group (NASDAQ:PMTS)
Year-to-date gain: 45.37 percent; market cap: US$310.71 million; current share price: US$28.15
With customers located across the US, CPI Card Group provides its user base with both physical and digital payment solutions, including credit, debit and prepaid options. The company's third quarter results show that its net income rose 80 percent year-on-year to reach US$12 million, while net sales rose 25 percent to hit US$124.6 million. CPI said its financial results are reflective of the strong demand for its differentiated payment solutions offerings.
Shares of CPI reached their peak for the year on December 8 at US$29.78.
5. MoneyGram International (NASDAQ:MGI)
Year-to-date gain: 37.35 percent; market cap: US$1.06 billion; current share price: US$10.92
MoneyGram International is a global leader in digital cross-border P2P payments, money transfers and blockchain-enabled settlements. The company's API-driven platform allows customers to transfer money online through bank accounts and mobile wallets, as well as in brick-and-mortar locations. MoneyGram's fintech offerings include the MoneyGram money transfer app.
For Q3, MoneyGram reported total revenues of US$330.8 million, an increase of just 3.5 percent year-on-year. The company attributed the low growth to strength in the US dollar against other major currencies. However, on a constant currency basis, total revenues for the company increased by 9 percent year-on-year. MoneyGram shares hit a 2022 high point of US$10.96 on December 6.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
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26 October 2022
Montfort Capital CEO Confirms Stability in Times of Great Uncertainty
Montfort Capital CEO Confirms Stability in Times of Great Uncertaintyyoutu.be
Montfort Capital (TSXV:MONT,OTCQB:MONTF) recorded 186 percent revenue growth to C$5.3 million in the second quarter of 2022 compared to C$1.8 million in the three month period ended May 31, 2021. The company also reported C$138.3 million worth of total assets as of June 30, 2022.
CEO Mike Walkinshaw said the company is relatively stable in these times of great uncertainty.
Montfort is leveraging its tech-enabled lending platform to provide private debt capital to growing businesses. According to Walkinshaw, the company has four segments that lend money to various businesses or individuals who can't receive loans from traditional banks. He cited software companies as an example.
“We've built a business around lending money to that particular group of companies, with our specialized management team and a specialized credit system. And we do very well in lending to that segment,” Walkinshaw said.
“Having a specialized management team means they're experts in the space, and they can tell the difference between good and bad. It also means that when the company is maybe not doing as well, you take actions early and decisively in order to help that company get back on the path, so they continue to make payments on your loan through the entire life of the loan,” he said.
Walkinshaw explained that the vast majority of the companies that Montfort deals with would find it challenging to obtain private equity or venture capital because they don't have enough scale. “What's happening in the software space … is they're just getting passed over," he commented. "They're left in this desert of financing where they can't find the financing that they need. And so we're the only option in that particular market."
Continuing, Walkinshaw noted, “While we're going through a time of great change right now, including having interest rates rising, debt is always the thing that gets paid first. So our payments are coming in."
The chief executive believes there's a high degree of certainty that the company will carry forward with its business model, which is relatively stable through times of change.
Watch the full interview with Montfort Capital CEO Mike Walkinshaw above.
Disclaimer: This interview is sponsored by Montfort Capital (TSXV:MONT,OTCQB:MONTF). This interview provides information that was sourced by the Investing News Network (INN) and approved by Montfort Capital in order to help investors learn more about the company. Montfort Capital is a client of INN. The company’s campaign fees pay for INN to create and update this interview.
INN does not provide investment advice and the information on this profile should not be considered a recommendation to buy or sell any security. INN does not endorse or recommend the business, products, services or securities of any company profiled.
The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with Montfort Capital and seek advice from a qualified investment advisor.
This interview may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, receipt of property titles, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The issuer relies upon litigation protection for forward-looking statements. Investing in companies comes with uncertainties as market values can fluctuate.
04 October 2022
10 Canadian Fintech Stocks
Canada’s fintech landscape is growing, as are partnerships between Canadian banks and Canadian fintech stocks.
Canada’s fintech industry includes more than 700 companies, according to a 2021 report on the Canadian fintech market from Accenture, an IT services and consulting firm. Sixty percent of these companies are found in Toronto, Ontario, but the cities of Vancouver, BC, and Montreal, Quebec, have also become major financial technology hubs in the nation.
The report identifies three verticals with the most promise for growth in the Canadian fintech ecosystem: RegTech (risk and compliance management), WealthTech and personal financial management tools.
Meanwhile, data from Statista shows that right now the leading fintech industry in Canada is the digital payments sector. The transaction value of digital payments is projected to reach more than US$119.8 million in 2022.
As fintech adoption increases, large financial institutions are integrating fintech into their business models.
For example, in 2019, RBC (TSX:RY,NYSE:RY) acquired WayPay to improve its accounts payables processes; that same year, TD Bank (TSX:TD,NYSE:TD) partnered with fintech firm Amount to expand its digital lending platform.
In 2021, the National Bank of Canada (TSX:NA) invested C$103 million in Montreal-based fintech firm Flinks, which helps deliver digital financial products to consumers in North America. For its part, BMO (TSX:BMO,NYSE:BMO) partnered with Toronto-based startup Riskfuel Analytics following a successful pilot project “to help clients make faster, better investment decisions” by leveraging deep learning and fast neural nets to develop pricing models and analyze structured derivatives transactions.
With that in mind, here are 10 Canadian fintech stocks on the TSX, TSXV and CSE for investors looking to jump into this growing sector. The Canadian fintech stocks listed below have market caps between C$10 million and C$500 million and were selected using TradingView’s stock screener. All numbers and figures were current as of market close on September 28, 2022.
1. Propel Holdings (TSX:PRL)
Market cap: C$240.28 million; current share price: C$7
Propel Holdings operates through its brands MoneyKey and CreditFresh, providing an online lending platform that offers access to credit products such as installment loans and lines of credit to consumers who can’t get credit from mainstream providers.
Propel says its “revenue growth and profitability have accelerated significantly over the past two years.” As an example, the company recently reported that its Q2 2022 revenue increased by 90 percent year-on-year to US$54.1 million, representing a new quarterly record. Propel paid a dividend of C$0.095 per share in June 2022.
2. Payfare (TSX:PAY)
Market cap: C$235.88 million; current share price: C$5.20
Next up is Payfare, a global financial technology company offering mobile banking and instant payment solutions for today’s gig workforce. Some of its customers include Uber (NYSE:UBER), Lyft (NASDAQ:LYFT) and DoorDash (NYSE:DASH).
Payfare made its initial public offering in March 2021, and has grown alongside the expanding gig economy. The company reported Q2 2022 revenue of C$33.6 million, which was a 285 percent increase over Q2 2021, and a 35 percent increase over Q1 2022.
"The second quarter was a significant financial milestone for Payfare as we achieved positive Adjusted EBITDA for the first time," said CEO and founding partner Marco Margiotta. "We remain focused on growth and are able to deploy capital opportunistically including remaining active on buying back our shares, funding the launch of new products, and other strategic growth opportunities."
3. Sylogist (TSX:SYZ)
Market cap: C$136.32 million; current share price: C$5.75
Third on this list of Canadian fintech stocks is Sylogist, a software-as-a-solution provider for the public sector and nonprofits. The company offers enterprise resource planning, constituent relationship management, fundraising, education administration and payment solutions to customers across Canada, the US, the UK and internationally.
Sylogist has nearly 2,000 customers spanning all levels of government, as well as non-profit and non-governmental organizations, educational institutions and public compliance-driven and funded companies.
The company’s unaudited financial results for Q3 of its 2022 fiscal year were released in August. Highlights include record revenue of C$13.7 million, an increase of 44 percent over the same period in Sylogist's previous fiscal year.
4. Tenet Fintech Group (TSXV:PKK)
Market cap: C$133.09 million; current share price: C$1.22
Tenet Fintech Group is the parent company of a group of fintech and artificial intelligence companies offering services to businesses and financial institutions through the Cubeler Business Hub, a global ecosystem used to create opportunities and facilitate business-to-business transactions. Tenet is working toward the official launch of its Cubeler Business Hub in Canada, slated for November 2022. In mid-September, the company announced that over 1,100 small- and medium-sized enterprises had pre-registered for the hub.
"Considering that 1,100 pre-registrations was our objective going into the campaign, and that we have now exceeded that number with over two months to go before the November launch, we may end up with double or even triple the number of our pre-registration target by the time of the launch,” commented Luc Godard, vice president of marketing at Cubeler. “We are also very excited by the fact that the pre-registrations come from businesses from coast to coast and cover a wide range of industries, including everything from retail to technology companies and everything in between.”
5. GoldMoney (TSX:XAU)
Market cap: C$116.04 million; current share price: C$1.60
Goldmoney is a slightly different fintech company in that its mission is to make gold and precious metals accessible to anyone. Its holding features allow users to buy, sell and hold physical gold, silver, platinum and palladium bullion online, as well as spend or withdraw cash directly from the company’s Goldmoney Holding with a prepaid Goldmoney Mastercard (NYSE:MA). Reserves can be held or exchanged in nine currencies without having to pay foreign exchange fees.
Goldmoney Holding is a custodial account with allocated, segregated and physically redeemable bullion, and it has low risks and costs.
6. POSaBIT (CSE:PBIT)
Market cap: C$98.24 million; current share price: C$0.83
Financial technology company POSaBIT provides point-of-sale (PoS) solutions for cash-only industries, especially cannabis retailers. The company’s cutting-edge software and technology allows for safe and compliant PoS and payment infrastructure for merchants.
POSaBIT is continually expanding its business, and launched its services in four new US states in 2022. Most recently, the company entered the recreational cannabis market in Illinois. The company is now active in 20 US states.
7. Mogo (TSX:MOGO)
Market cap: C$91.9 million; current share price: C$1.25
Mogo aims to help its customers get control of their finances. Users can sign up for a Mogo account to access free credit score monitoring, as well as prepaid Visa (NYSE:V) cards and personal loans.
Mogo recently reported that its member base increased by approximately 18 percent year-over-year, surpassing the 2 million milestone in Q2 2022. The company also reported revenue of C$17.3 million for the same quarter, up 27 percent year-over-year.
8. WonderFi Technologies (TSX:WNDR)
Market cap: C$79.44 million; current share price: C$0.405
WonderFi Technologies says its focus is “building the future of finance” by providing wider access to regulated crypto platforms.
Beginning in the first quarter of 2023, the company will offer stock trading for its customers through its crypto trading platform, Bitbuy. “Bitbuy will offer fractional trading and investments in thousands of U.S. stocks, exchange-listed securities and ETFs,” states a press release. Once launched, the product will be the first fractional trading platform in Canada that offers real-time settlement.
9. Axis Auto Finance (TSX:AXIS)
Market cap: C$63.92 million; current share price: C$0.53
Axis Auto Finance is a fintech lender providing alternative used vehicle financing options for Canadians, servicing those that have credit scores in the non-prime range (estimated at 30 percent of the adult population). The company claims that all of its auto loans report to the credit bureau, resulting in a significant improvement of the credit scores for the majority of its clients.
Axis’ lender platform is based on state-of-the-art, in-house developed risk analytics. In mid-2021, the company announced it had added a “Big 5” Canadian bank to the funding syndicate that provides the company’s senior secured debt facility. The company's revenue for its 2022 fiscal year totaled a record C$40.2 million, up 5 percent over the previous year.
10. RevoluGROUP Canada (TSXV:REVO)
Market cap: C$38.32 million; current share price: C$0.205
RevoluGROUP Canada is a central bank-licensed neobank fintech company focused on meeting the demands of the rapidly growing personal and corporate finance industry, along with other technology market sectors, through its flagship RevoluPAY technology.
RevoluPAY, the company’s proprietary iOS and Android banking app, launched in 2018 and was linked to a proprietary Visa card in 2020. The app offers accounts in Canadian dollars, US dollars and euros, with more currencies planned. RevoluGROUP has secured direct correspondent banking agreements with BBVA USA, Flutterwave, Alipay, Union Pay, Thunes and others.
This is an updated version of an article first published by the Investing News Network in 2017.
Don’t forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
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