News from around the world
Politico reported on the advocacy group CGCN and their decision to sign the Marketplace Lending Association which is a trade group representing various P2P firms. The move is aimed towards building a robust regulatory framework around the new marketplace lending industry.
Tech Crunch discussed an emerging proposal from the Comptroller of the Currency which would permit certain fintechs to exist as special purpose national banks. The move is designed to help separate legitimate fintech establishments from those like payday lenders that engage in predatory behavior.
Forbes reviewed findings in a recent report from G.P. Bullhound. The investment banking firm explains that they expect 2017 year to be strong for the fintech industry. “We expect 2017 to be another year of resilience for fintech funding in Europe,” explains the report. The analysis continued to explain that “Global marketplace lending is expected to increase 2.4x from 2016 to 2020.”
FT Adviser published a helpful article covering six things to consider when exploring marketplace lending as an investment. The author suggests looking at a platform’s default rates, net returns, total amount lent and diversification.
DS News reviewed recent remarks from Thomas Curry, the Federal Comptroller of the Currency. Speaking at Northwestern’s Kellogg School of Management he discussed how responsible innovation, “must fit within the company’s business plan, the risks must be understood and managed, and consumers must be treated fairly.