Investing in stocks through e-wallets and AI is booming

Statistics from the Vietnam Securities Depository (VSD) show that in July 2024 alone, domestic investors opened nearly 330,000 additional securities accounts, a figure three times higher than the previous month and the highest level in the past two years. This is considered an important driving force to help the market recover strongly after two months of sharp declines.

Buy and sell from 1 stock via e-wallet

Notably, opening an account and investing in securities is no longer done in the traditional way but is greatly supported by new technology, including artificial intelligence (AI). In particular, with the explosion of e-wallet and banking applications, investors' access to securities is becoming increasingly simple.

According to a reporter from the Lao Dong Newspaper, on a number of stock investment groups and associations, the trend of buying stocks on e-wallets is becoming more and more popular. The difference is that instead of spending large sums of money, tens of millions, hundreds of millions of dong, even billions like traditional investors, those who participate in stock investment on e-wallets often only buy and sell stocks with amounts ranging from only 10,000 VND to more than ten million VND. However, the community of this type of investor is very large, up to hundreds of thousands of people.

Investors view stock information on e-wallet application Photo: HOANG TRIEU

Ms. Mai Thy (living in Ho Chi Minh City) said that she joined the stock market a few months ago, after experiencing the stock trading feature on e-wallets. "The factor that attracts new investors is that they do not need a large amount of money, just a few tens of thousands or a few hundred thousand is enough to play the stock market, quite convenient but the decision of which stock to choose still has to be considered" - Ms. Thy said.

According to research, there are currently 2 e-wallets that are deploying securities services for users, namely MoMo and Zalopay. In particular, ZION Joint Stock Company (the owner of Zalopay) cooperates with DNSE Securities Company to deploy DNSE's securities services on Zalopay to attract up to 14 million users of this platform.

Zalopay launched this service in August 2023 and is the first e-wallet to support stock investment for beginners, starting from just one stock. After one year of implementation, Zalopay recorded more than 400,000 customers opening stock accounts and participating in regular investments, of which nearly 50% of customers are between the ages of 25 and 35.

Meanwhile, the MoMo payment platform cooperates with CV Securities Company (CVS) to allow users to open a securities account at CVS to buy and sell listed stocks. With just a small capital of VND 10,000, investors can start investing. CVS also provides a lot of information on the MoMo wallet to support investors in making decisions such as nominating highly rated stocks according to CVS's Stock Radar method; stocks with the strongest increase of the day; stocks with the highest volume of buying and selling of the day...

In addition, the MoMo application also offers investment services for fund certificates from fund management companies such as SSI, VCBF, Dragon Capital, etc.

Worried about competing with securities companies?

Speaking to a reporter from Nguoi Lao Dong Newspaper, Mr. Nguyen Thanh Lam, Director of Personal Customer Analysis, Maybank Securities Company, analyzed that fintech units can develop utilities for buying stocks through their applications. Basically, this is a good thing when it helps popularize and turn stock investment into a mass investment channel.

So do these methods compete with traditional securities companies? According to Maybank, competition is inevitable in any business sector. Instead of worrying about these new waves, securities companies themselves must improve their services to optimize the investor experience and find new customers. "For investors, carefully understanding the legal aspects of the service provider is the most important thing to avoid unfortunate incidents. Factors such as security and accompanying support services also need to be noted," said Mr. Lam.

Ms. Nguyen Thi Thao Nhu, Senior Director of Individual Clients, Rong Viet Securities Company (VDSC), commented that the trend of being able to buy and sell stocks via e-wallets brings high convenience, especially for small investors who want to trade with small capital and quickly (in fact, investors can also buy at securities companies in the form of buying individual shares). "However, these platforms often do not provide as many in-depth analysis tools as traditional securities companies. E-wallets and digital banks can attract a large number of new users, securities companies still maintain advantages in providing investment consulting services, portfolio management and in-depth analysis tools. Competition exists but only in different market segments" - Ms. Thao Nhu expressed her opinion.

When buying stocks through fintech platforms and e-wallets, investors should note that fees may be higher than those of traditional securities companies, so they need to compare carefully to ensure reasonable costs. Security is a key issue, protecting personal information and investment accounts. In addition, according to experts from Rong Viet Securities, customer support services such as personalized investment advice or technical analysis may be limited on fintech platforms and e-wallets compared to traditional securities companies.

Borrow AI to "surf"

Along with the trend of investing in stocks through e-wallets, many securities companies are also competing to attract investors by integrating AI. For example, MB Securities Company (MBS) has a smart assistant product "Billion Dollar Dolphin" on the MBS application. Thanks to the integration of AI, this assistant can provide investors with in-depth information and suggest investment opportunities. Stocks are automatically evaluated according to many criteria, especially the technical strength of each stock, helping investors to proactively trade. The Real-time warning feature when the stock code in the customer's portfolio hits the profit/loss threshold or warns immediately when the stock code in the portfolio shows signs of a sharp price decrease with sudden liquidity... helps investors quickly grasp information and manage the risks of their investment portfolio.

Techcom Securities Company (TCBS) also applies AI to predict investment trends and cash flows; suggests financial products for each specialized customer group and deploys automatic robots to support customers...

Mr. Minh Thien (an investor living in Ho Chi Minh City) said that the AI ​​technology of securities companies only works well at signaling the increase and decrease of stocks in the investment portfolio. The analytical information provided by AI is not accurate and has many errors, so it is necessary to carefully consider through transaction history.

Similarly, investor Nguyen Thanh Linh (living in District 1, Ho Chi Minh City) highly appreciates the fact that AI can support stock filtering, consulting, and even replace experts to analyze bottom and top areas, buying and selling forces fully. However, one should not trust too much in the data from AI of the suppliers because this technology in the market has not really achieved high efficiency, and is still only at the development level. Investors should not rely on this data to invest, it will be very risky.

From an insider's perspective, Ms. Nguyen Thi Thao Nhu said that investing through AI brings convenience and efficiency thanks to its ability to automate trading processes and analyze data to optimize decisions. However, relying entirely on AI is risky if investors do not understand how algorithms work, especially when the market fluctuates unexpectedly. Investors may lose initiative and fail to develop their personal market analysis skills. AI may also not be suitable for each investor's goals and risk appetite. "AI should only be considered as one of the supporting tools, combined with personal knowledge and experience to make investment decisions that optimize investment efficiency and minimize risks," said Ms. Thao Nhu.

Margin lending via e-wallet

Zalopay representative said that new investors tend to like the "Investment Recommendations" feature. These are recommendations based on market information from experts from DNSE - the product issuer. Not only new investors, but also stock accounts on Zalopay have the participation of veteran investors with a total transaction value of up to billions of VND. "In the near future, we will soon launch the margin lending feature to better serve the needs of professional investors" - this fund revealed.

Source: https://nld.com.vn/no-ro-dau-tu-chung-khoan-qua-vi-dien-tu-ai-196240901200425938.htm