Financial Technologies as Drivers of Sustainable Development of Exchange-Traded and Venture Capital Funds

Abstract

The present study concludes that the introduction of financial technologies leads to more efficient functioning of the stock market through the use of algorithmic trading in securities of exchange-traded funds. As a result, there is a impetus to invest in venture capital funds (targeting the design of system software support for stock markets during digitalization). Digitalization ensures more efficient functioning of financial markets, free from intermediary and transaction costs. Reducing human interaction in the investment process will result in more dynamic trading, and thereby will reduce the negative impact of human behaviour on investment decisions. Within the framework of the proposed measures to solve problems of infrastructure financing, the most understandable and effective tools of venture capital business have been considered, based on the specifics of the venture capital market.