Yes, stock number three belongs to a completely different sector than the two stocks we talked about today. I want to talk about Nu Holdings. This is the parent company of Nubank.
It is a digital bank that was founded in Brazil in 2013.
At that time, the banking sector in Brazil was dominated by five established institutions, which controlled about 80% of the market. Furthermore, they imposed some of the highest fees and rates in the world while customers were waiting to receive basic service.
So, Nubank’s response was a no-fee purple credit card that could be ordered entirely by phone, and that was the beginning of a fully integrated digital banking platform, now based on accounts, loans, investments and insurance, built entirely on a cloud infrastructure with no physical branches at all.