Transformation of the financial system: challenges and opportunities in the new economic era.

The global financial system is undergoing a radical transformation, driven both by the globalization of the economy and by rapid technological evolution. This change has led to the emergence of new intermediaries and financial products that challenge traditional ways of producing and offering services. In light of this situation, there is a need to reevaluate how finance is understood and interacted with. Investment decisions, in this context of uncertainty, are becoming increasingly complex and risky. Historically, finance has been related to the ability to predict the future and assign probabilities to different economic scenarios. However, in an environment where crises intertwine and affect various sectors, making long-term predictions has become a titanic task. This difficulty is particularly evident in the stock market, where it is currently estimated that more than half of the value of publicly traded companies is based on forecasts of future cash flows, many of which will depend on circumstances that are currently uncertain and volatile. One consequence of the credibility crisis facing the financial sector is how it has permeated public perception. Many people, especially young individuals, view the traditional financial system as a destabilizing agent that, instead of generating value, perpetuates inequity and facilitates corrupt practices. The discontent and insecurity experienced by this generation lead them to seek alternatives that are often misleading, such as cryptocurrencies, which promise high returns in exchange for considerable risk. In this landscape, the lack of financial education becomes a factor of vulnerability. Many young people are attracted by promises of quick wealth, guided by influences that lack solid foundations. The inability to distinguish between legitimate opportunities and scams results in significant losses, both of individual savings and of collective trust in the financial system. Economic history offers lessons that could help mitigate these situations, but ignorance prevails. To address the transformation of the financial system, it is crucial not only to have robust regulation but also to foster a culture of financial education. Citizens must engage more actively in their financial decisions and be aware of the impact that these decisions can have on their lives. Understanding past financial crises can be key to avoiding mistakes and promoting a more inclusive and sustainable system. Examples of institutions that have grown exponentially in a short period, such as certain digital banks, highlight this duality. While their success lies in innovation and accessibility, they also pose risks that customers must consider. The lack of a common deposit guarantee scheme in the European Union is just one of the factors that can influence the security of depositors, who must evaluate not only the convenience of the technology but also the solidity and reliability of the institutions they choose. As large tech companies enter the financial realm, opportunities arise but so do risks. While their ability to analyze data could improve risk assessment, they could also contribute to problems such as credit concentration and the exclusion of the most vulnerable sectors of the population. The intersection of technology and finance demands critical analysis that considers both the benefits and the potential dangers. Addressing the social, demographic, and environmental challenges of our era requires a financial system that functions as a driver of positive change. Channeling savings into productive investments is essential for achieving the necessary transitions. To this end, it is vital for the financial sector to regain the trust of citizens and position itself as a useful and reliable tool, rather than a destabilizing element of the economy. A well-informed citizen can contribute to a fairer and more equitable financial system, one that values not only profitability, risk, and liquidity but also considers factors of social justice and sustainability. The existence of initiatives such as ethical banking and responsible investment funds demonstrates that viable alternatives are possible and can coexist with a traditional financial model, as long as critical awareness is fostered among consumers. In conclusion, the future of the financial system stands at a crossroads. Technological evolution and new social demands present challenges that, if addressed appropriately, can transform this sector into a lever for sustainable development and equity. The key lies in financial education, proper regulation, and shared responsibility between consumers and financial service providers. In this way, a system can be built that not only survives crises but also contributes to collective well-being.