Discover Sustainability (May 2025)
Wavelet connectedness between FinTech innovation, artificial intelligence development, and blue economy performance during the COVID-19 pandemic and the Ukraine–Russia tension
Abstract
Abstract Our research illustrates inter-relations between FinTech innovation development and blue economy performance. We use the Global X FinTech ETF (FINX) and the ARK FinTech Innovation ETF (ARKF) to capture the level of FinTech innovation development, while the BNP Paribas Easy ECPI Global ESG Blue Economy UCITS ETF analyzes 50 businesses from various markets that are at the forefront of the responsible application of ocean resources and other ESG standards. Using cutting-edge multivariate wavelet analysis techniques, covering partial wavelet gain as well as partial wavelet coherency, our study looks into these correlations and frequency dimensions between September 14th, 2020 and August 11th, 2023. The multiple coherencies between FinTech innovation development and blue economy performance suggest that five cycles were concentrated in the range of high frequency (3–68 days): from September 2020 to December 2020, January 2021 to March 2021, April 2021 to December 2021, February 2022 to January 2023, and February 2023 to August 2023. Another cycle was in the range of low frequency (69–130 days) between May 2022 and February 2023. Alterations in blue economy performance generated negative volatility in FinTech from July 2021 to October 2021 and from April 2022 to August 2022. The partial coherence between blue economy performance and FinTech suggests that both factors are in phase. Our research emphasizes significant policy implications for authorities and investors to assist them with promoting the sustainable blue economy in the age of AI and FinTech innovation.
Keywords
