Formed in 2016, the Golden Contract Coalition was designed to help small banks negotiate better with core banking providers; the mission has now expanded to include a FinTech Advantage unit dedicated to helping the banks by financial technology; the member banks of the coalition pay a fee for the group to provide more negotiating muscle; Fiserv, FIS and Jack Henry are the major core providers for banks and the group is there to help smaller banks even the playing field. Source.
News Roundup
This page contains an archive of the Global Newsletter summaries and the weekly fintech news roundups.
Every day the Fintech Nexus news team scours the globe for the most important stories of the day to include in our daily newsletter.
Then every Saturday we bring you our weekly news roundup of the top 10 fintech stories of the week with commentary from Peter Renton.
To join our newsletter community please subscribe here.
Goldman Sachs has acquired personal finance app Clarity Money as it continues to build out their consumer focused brand. Adam Dell, founder of Clarity Money, will become a partner at Goldman as a result of the deal. Source.
Technology investments at big banks like Goldman Sachs will take time to...
Goldman’s Marcus has scaled extraordinarily fast having provided $2.4 billion in consumer...
George Lee is the co-Chief Investment Officer of Goldman Sachs; increasingly Goldman...
Goldman Sachs has been exploring the creation of a crypto trading desk and now has hired a former crypto trader; the bank hired Justin Schmidt as a vice president and head of digital asset markets; the move is seen as another step by the bank to eventually create a crypto trading desk as they have been rumored to be exploring this for quite some time; no major bank has started a crypto trading desk yet. Source.
We’ve seen Goldman Sachs enter a variety of consumer banking verticals over the last few years; now the bank has hired a senior JPMorgan Chase engineer to build cash management tools, deposit accounts as well as other products for big companies; commercial banking could bring even more deposits into the business and also help boost revenue; they will compete with other big names such as JPMorgan, Citi, Bank of America and Wells Fargo. Source
A case study at the Harvard Business School was presented as part of the executive MBA program on the bank’s digital strategy; Goldman CFO Marty Chavez recently stated “Goldman is for risk what Google is for search”; the move to becoming a tech company is not easy as other areas of the bank do not see the same benefits; Goldman is clearly on the front edge of innovation in banking today. Source.
deBanked reports that Bond Street has stopped making new loans; seven months ago Bond Street announced a $300 million loan purchase agreement with Jefferies; the WSJ outlines that engineers, product developers, and risk and marketing specialists will join Goldman’s consumer bank; Square is allegedly also in talks with some Bond Street employees. Source
Goldman Sachs continues to show interest in consumer finance; CEO of Final, Aaron Frank announced that the startup would be closing in December 2017 but did not provide further details; a dozen engineers and product managers will be joining Goldman Sachs; Final was founded in 2014 and offered consumers a credit card; users were able to generate virtual cards unique to a merchant. Source