Abe Smith, founder and CEO of UK based Dealflo tells Banking Technology about the big opportunity for UK fintechs in China; China and the UK have recently formed as closer partnership with Teresa May signing s number of deals and partnerships; three key areas for UK fintechs to focus on include approaching China for the unique market it is, work with a local group or team of advisors and understand the complex data residency programs. 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.
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As real time payments have begun banks are finding it a challenge to implement them; how much should banks charge corporate clients for the service and how best to handle legacy infrastructure are two of the main questions they are grappling with; “Banks need to understand how they monetize these services,” Vinay Prabhakar, head of markets strategy for payments at Finastra, said to TearSheet. “Most banks have lucrative credit card programs, so how do they roll out RTP without cannibalizing their credit card models?”; Christopher Ward, PNC Bank’s head of treasury management product management, believes progress is being made and 90 percent of banks will have implemented real time payments by end of 2019. Source.
The latest fintech IPO is likely to be GreenSky which focuses on point of sale finance. Source
- DriveWealth Raises $21M in Series B Funding
- DV01’S Q1 Securitization Volume Tops $2.58B, Encompassing Nine Deals from Six Originators
- Equal Pay and the Law: What Business Owners Need to Know (TriNet)
- Connected Banking Customer Report (Salesforce)
- The Online Lending Policy Institute (OLPI) Announces Date for Third Annual OLPI Policy Summit
- The Online Lending Policy Institute (OLPI) Appoints Deputy Director
- Mosaic Readies New Solar Loan Deal
- Funding Circle Expands U.S. Operations with New Office in Denver
- China Rapid Finance Reports Unaudited Fourth Quarter and Full Year 2017 Results
Bo Brustkern, the CEO of LendIt Fintech and Co-Founder of NSR Invest shares his thoughts on the future of financial services. Source
Revolut has launched their open API for customers and they have increased their Revolut for Business service; Banking Technology reports that the company said “account owners can generate sandbox and production keys, and set whitelisted IPs as an “extra layer of security”; accounts allow users to send, hold and exchange up to 25 different currencies. Source.
2018 has not been kind to the digital currency as it is down 50 percent against the dollar and the first quarter is the second worst on record; regulation, a clampdown in Asia hurting volume and the big price run up in late 2017 have all hurt Bitcoin; the prevailing thought about making fast cash has gone away as the price has dropped; the price today stand just below $7,000, down from a high of $20,000. Source.
Some UK fintech firms are beginning to look at opening offices in other locations across Europe to appeal to young software engineers; Brexit has hurt the market for software engineers in the UK; while the initial evidence is anecdotal UK fintech companies like Curerencycloud are beginning to feel the pressure; Mike Laven, chief executive of Currencycloud, tells the FT, “We understand passporting, regulation and compliance and it will cost us money, but we will sort that out. To me, the London fintech issue is more around having the right people and having very easy access to that.” Source.
The implementation of GDPR is around the corner as it starts in May across Europe, while most of the regulations will benefit robo advisors the compliance costs could rise significantly; users will be able to ask for all data related to them and all data a rival adviser might have on them, getting this done correctly and efficiently will take time; the customer benefits are high, startups on the other hand might end up getting a lot more costs then anticipated. Source.
The company securitized $2.6 billion in Q1 2018, representing a 35% increase over the prior year period; three transactions took place, two student loan deals and one consumer loan deal; medical residency loans were included for the first time in SoFi 2018-B Notes; SoFi is a top-ten ABS sponsor, coming in at seventh. Source