Florida’s Financial Industry: A Marvel of Efficiency and Variety
By Space Coast Daily // January 29, 2020
Although Florida is not necessarily known to the general public as the perfect destination for financial matters, the state does hold a lot of resources in order to serve millions of international clients overnight.
In fact, it’s considered on a level just slightly below financial and commercial hubs such as New York or Los Angeles. There are a few reasons why this state which is known for sunny beaches and delicious cocktails is so powerful when it comes to doing some finances.
The migration
The first case that we can bring up with Florida is the migration of professionals. You see, in the past, Florida was a primarily resort destination for most Americans living on the East Coast.
Considering that most of the American population lives there, it’s not too hard to see how Florida was absolutely thriving when it came to tourism.
However, other industries were not as successful. Most governing bodies in the state just didn’t focus on them too much when they knew all too well that billions of dollars in revenue could be expected from one industry alone.
This made the economy way too centralized, and when Americans started taking vacations abroad, o simply stopped taking vacations at all, the state quickly realized that they needed a change of pace.
Luckily for them, it was exactly the time when the Castro revolution was happening in nearby Cuba. Not all of the population was in support of the new government.
But considering that there was almost nothing they could possibly do, most of the opposition just got up and left. The overwhelming majority of the Cuban refugees went to Cuba, and most of them were professionals in business, finances and various other fields.
Florida had just received a fresh new batch of amazing employees it could start putting to work for economic diversification.
Focusing internationally
Most of the focus in Florida’s financial industry was on trading facilities and companies. These included stock exchanges, investment funds, banks and etc. Luckily for the state, these companies were doing absolutely amazingly well.
But, considering that most of the international population was looking for ways on how to start trading for free so they needed to adjust their strategies.
Before Forex became a heavily regulated market in the United States, Florida was considered as the go-to state for establishing such a company and for good reasons.
Focusing on the US population would expose them to serious competition with other corporations that would usually have ties to the government, thus rendering the venture extremely risky.
However, having thousands of financial professionals that could fluently speak Spanish within their state was an amazing advantage. The platforms quickly became Spanish-friendly, thus incorporating a large chunk of the Latin American investor base.
But why would Latin Americans trade on a US platform when they had their own? Because not only did Florida-based companies have the resources in the form of Cuban professionals, but also the reputation of the United State’s financial stability and competence.
They were the two ingredients needed to create the bustling financial hub Florida is now today.
A bit too centralized
Many people have commented that Florida’s economy is way too centralized in Miami and it’s hurting the economy.
Most Floridians are forced to either commute huge hours to work or move to Miami altogether. With the tourism industry booming every year, and now a new influx of immigrants from outside of town, real estate prices were pretty crazy.
Most of the workers’ incomes were spent on rent and food with very little remaining as disposable income. This created an even harder reality for local businesses as people simply could not afford to buy almost anything besides the most essential products.
Some say that the issue remains to this day and nothing is being done about it. If Florida’s government could approve a more diversified industry, meaning relocating most of the largest employers all around the state, it would benefit both them and the citizens as consumer spending would increase tremendously once again.
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