In this week’s PeerIQ Industry Update they cover the latest minutes from the FOMC meeting, the new NY Fed report on mortgage lending and Lending Club’s earnings report; the FOMC is on track to raise rates 3 times in 2018 and the new rates could affect ABS pricing; the NY Fed report on the role of technology on mortgage lending said fintech lenders are reducing processing times by 20 percent and default rates by 25 percent; Lending Club reported record revenue and a net loss, their stock dropped 18 percent on the news; PeerIQ also gives a report on their recent partnership with Cross River Bank. Source.
The Federal Open Market Committee (FOMC) ended its two-day policy meeting on Wednesday and released an afternoon announcement reporting no change to the central bank borrowing rate which will remain at 0.25% to 0.50%; as expected the FOMC's statement did indicate that a rate hike in December was likely with new language saying the 2% inflation objective is near and that the Fed only needs "some further evidence" of economic progress for a rate increase; globally the US is one of few central banks tightening monetary policy; many are easing with negative rates; Japan's central bank borrowing rate is -0.10% and the ECB central bank borrowing rate is at 0% for the Eurozone; the Bank of England will be meeting on Thursday and is expected to keep its rate unchanged with further easing in 2017. Source
The “adrenalin ride” of fintech has been a big draw for banking heavyweights who have been facing tougher regulation, increasingly...
Forbes partnered with market research firm Statista to measure the best banks in more than 20 countries by surveying more...
This year’s Forbes 30 under 30 list features a diverse list of leading VC’s, crypto enthusiasts, fintech entrepreneurs and emerging...
Among VCs featured in Institutional Investor’s list of the 40 top Fintech Finance Power Players was Maria Gotsch, the president...
Forbes has released their third edition of the Fintech 50 list which includes 22 new companies; companies included all have operations, customers or impact in the US. Source
GreenSky is the third most valuable fintech company in America; managed by David Zalik it provides a unique lending service with a business model scalable to diverse industries; currently focused on home remodeling contractors it offers fast approvals for borrowers with support by phone, website or mobile app; Forbes provides more details on David Zalik, the evolution of the business and its future aspirations. Source
Renren, a publicly listed company in the US operates a social media platform in China but has also made several fintech investments; investments include LendingHome, Fundrise, Motif Investing as well as a significant stake in SoFi; a year ago Renren announced plans to spin off its minority venture stakes into a new subsidiary; under the plan retail investors would receive a cash payout, losing their exposure to SoFi; Ryan Roberts, director at MCM Partners stated in the Forbes article, “It certainly looks like Joe Chen is trying to strip the best assets from Renren, particularly SoFi. SoFi is basically the entire value of the company right now, the core business has really deteriorated.” Source
Forbes spoke with Bradley Strock, the company’s chief information officer to talk about how the company has transformed over the years; Strock discusses their focus on being a customer-centric company, their successful shift to mobile and other strategic priorities. Source