Wall Street in the pocket: a new way to build the trading platform

Demand breeds supply. The pandemic of the Covid-19 was the impetus for many of the information processes in society. The number of private investors in the stock market grew by 67% a year. This is a case where two streams came together at once:

• The technical ability to spread smartphones, artificial intelligence, and the development of mobile apps
• The desire of people to build an independent future, to receive passive income

Together they became an ocean of trading app development. The reason for people’s interest in investing was the low rates on deposits and bond coupons. Financial literacy and a desire to earn extra income from the right exposures created the demand. Anyone can buy shares of global brands, enter the stock market, buy precious metals, currencies and cryptocurrencies, invest in startups and other commercial companies.

That’s why many entrepreneurs wonder how to build a stock trading platform and how much it will be in demand and profitable.

How it works

An investment application is software that allows investing in various financial instruments. The distinctive feature of such a digital product and, of course, its main advantage is the ability to make transactions directly from your cell phone and monitor your investment portfolio anywhere in the world.

Let’s imagine that you have free resources, you think about your future and your children, secured by old age. You realize that businesses are now developing as startups, and there is an opportunity to invest in interesting and promising projects. The trading app development creates all the conditions for this.

You download the application to your cell phone, register yourself, and thereby enter into an agreement with the broker. Now you can buy stocks and securities, cryptocurrency, and more.

Conquer the ocean. Get into the flow or not?

11% of smartphone users in the USA have investment apps installed. And the number of people who use such programs grows every year. The sphere of trading app development evolves because the level of meaningful attitude to finances grows.

The conducted research showed that the consumers between 20 and 37 years old download such applications 32% more often than others. This clearly demonstrates that the mobile investment market is actively turning into a serious source of income. Private companies, brokers, benefit from trading app development to expand their influence. And as always, the competition in this niche is growing every day, so do not miss the chance to start trading app development as soon as possible. The success rate of a project at an entry point with low competition is higher than at the stabilization stage.

Let us remember that it was the growth of the crypto market that affected the number of private investments. Trading app development has opened up the possibility for users not just to raise capital, but to choose the projects they are interested in. A user without a specialized financial education or experience as a trader can invest in a startup that in the future may become a unicorn, or a charity project to protect whales in the Atlantic Ocean. A digital project that generates human interest and need will be in demand and profitable. The world is turning towards ordinary users and giving them freedom.

Difficulties temper or what to look out for

Trading app development is a high-tech product. You will need a team of professional developers to avoid the following hardships.

• Creating trading robots. Most of the time, users don’t understand professional terms and can’t read stock indicators. That’s why trading app development creates special algorithms, which are able to process large amounts of information and provide ready-made investment scenarios. For this you will need an expert familiar with machine learning, artificial intelligence, knowledge of specific software and language.
• Ensuring the protection of personal data. The developer must use serious security protocols to keep the client’s private information from being attacked by hackers. Only by providing such functionality in trading app development, it is possible to gain the trust of users.
• Choosing a niche. If you have $1.7 million at your disposal, you can create a comprehensive app that is suitable for everyone. Limited resources force you to select the segment of investment responsibly. The direction can be genetic engineering, neural networks, VR/AR reality, streaming gaming. A narrow niche will allow you to come to success faster and make the project profitable.
• Target audience analysis. The situation is the same as with the point above. You must understand exactly who your client is, how old he is, what his interests and income are, what he does and why he will download your product.
• Building a support system. Trading app development is a time-consuming process. Sometimes a product can be complicated for a user to understand. Therefore, customers may have a lot of questions at the initial stage. This requires a technical ability to quickly respond to requests. This can be online chats, chatbots, or a wide directory with information materials, where the user will find the information he is interested in.

Where’s the money?

As with any digital product, there are numerous ways to monetize. Many developers use hybrid systems, so they mix several ways to make money at once.

• Advertising revenue
• Paid subscription
• Transaction fee
• Payment for additional functions
• Interest on your asset management

You can include such paid features as expert advice, reports, ratings of the most profitable offers for investments, risk insurance. Of course, you can charge a percentage for the withdrawal of funds to third-party resources. Each of these ways should be qualitatively designed and selected for the audience, and meet their needs. You can find many examples of successful completely free projects, which made a return on investment thanks to advertising alone.

Legal component of trading app development

Another essential aspect in the trading app development is the harmonization of brokerage activities and legislation. First, you determine which countries in the world the product will be available, study the financial regulations, and obtain a license. The United States has an advanced ecosystem for servicing investment activities. This country has had a deposit culture for 200 years. Brokers are regulated by the SEC. There are special organizations where the broker must register and pay membership fees in exchange for insurance for his activities. Thus, the law protects consumers.

If we’re talking about additional features in your product, think about introducing a possibility or a paid service to calculate and pay taxes for income from actions in the app. You will save users a lot of headaches and increase the chances of the app making it into the Top Rating.

In conclusion, let it be noted that the development of private investing is only gaining momentum. There are interesting areas that are still free and just becoming popular. You have a real opportunity to be on the crest of the wave and become a trendsetter in the world of trading app development.