Should I buy Wise shares following its new listing?
Wise (LSE:WISE) shares opened at 8 a share at 11am on Wednesday, giving the currency transfer company a market capitalisation of 8bn. The London-based fintech firm decided to use a direct listing on the London Stock Exchange rather than a more common IPO. According to co-founder and CEO Kristo Krman a direct listing allows for a cheaper and more transparent way to broaden Wises ownership.  5G is here  and shares of this sleeping giant could be a great way for you to potentially profit! According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air And if you click here well show you something that could be key to unlocking 5Gs full potential... Previously known as Transferwise, the currency platform was founded with a mission to transparently and cheaply move money across the world. So its quite fitting that it has chosen a direct listing, bypassing the major banks to go directly to its customers and investors. Also consistent with its brand, it created a program called OwnWise that offers Wise users a chance to invest in the company and receive bonus shares. Unlike some fast-growing technology companies, Wise is a profitable business. I like that its been profitable since 2017. It has managed to steadily grow sales and profits. Given its growth and size, its certainly no longer a start-up. It now has 10m users, moving 5bn every month. The company reckons it saves customers over 1bn a year compared to transactions made with banks. More customers are joining every year, and currency transfers are getting cheaper and faster. Wise has demonstrated that its an innovative company with frequent new features. Its also always working to reduce fees by becoming more efficient. I reckon the future looks promising. Wise has a large global audience and a long runway of potential customers. According to consultancy firm McKinsey, its estimated that people and small-to-medium businesses transfer $10trn internationally. Risks  Despite an encouraging outlook for the business, there are several risks to Wise shares that Id consider. Wise operates in a highly regulated environment. It needs to ensure it meets compliance requirements in each of the many countries that it operates in. It also needs to work hard to minimise the risk of financial crimes across its products. Given its business of cross-border currency transfers, its exposed to fluctuations in foreign exchange rates. It needs to manage its liabilities carefully to ensure it can protect itself from significant currency moves. Also, its worth noting that the company decided to list with a dual share structure. This gives founders more control and enhanced voting rights. It could be controversial and limit some interest from investors. All things considered, Ive decided not to buy Wise shares just yet. It certainly looks promising and I like its ethos, plan, and vision. However, I tend not to invest in new listings. The share price can be volatile and its price will somewhat depend on the level of hype it received in recent weeks and months. On this occasion, Im happy to add Wise shares to my watchlist and observe over the coming months.