peer to peer

Media mogul-backed bank challenger close to breaking even

SocietyOne, a peer-to-peer lender that is partly owned by Rupert Murdoch, Kerry Stokes and James Packer’s companies, expects to start making profits within the next 12 to 18 months. The start-up lender has in recent years been heavily investing in marketing, technology and new staff as it seeks to establish peer-to-peer lending on Australia’s financial landscape, pinching some of the profits banks make from the $100 billion personal credit market. After a year of rapid loan growth, chief executive Jason Yetton said the lender now faced the prospect of breaking even, though this would depend on how much it invested. “We think it can reach profitability over the next 12 […]

DETAIL
Nov
21

Fintech fund Reinventure seeking riskier investments

Armed with a $50 million cheque from Westpac and many lessons from their first fund, Danny Gilligan and Simon Cant are dialling up the risk. Not the type that raises eyebrows in banking, but rather trying to get more blockbuster returns out of the more mainstream fintech industry, even if that means failing often. “If you look at the data out of the US, the greatest risk as a venture capitalist is that you don’t take enough risk,” Gilligan told The Australian in their first interview since the founders of venture capitalist group Reinventure raised their second fund. “The worst-performing VC funds in the US, 50 per cent of the […]

DETAIL
Nov
15

Citi Unveils Global Digital Wallet: Citi Pay

Citibank announced the launch of Citi Pay, a new digital wallet that will provide Citi customers with a simple and fast option for online, in-app and in-store payment needs. Barry Rodrigues, Head of Global Digital Payments at Citi, said the company is uniquely positioned to accelerate payment innovation on a global scale. Citi Pay will be made available to Citi customers for online and in-app purchases. As a digital extension of their current card relationship, Citi customers will be able to make online and in-app purchases using the same Citibank online user ID and password that they currently use to manage their existing online relationship with Citi. The company is […]

DETAIL
Nov
10

Australia’s banks don’t fear FinTech threat

Australia’s major financial services providers are not worried about the threat posed by emerging financial technology (FinTech) players and believe FinTech will be positive for the industry overall. A survey of financial marketers conducted by Yell Creative found that 98% of marketers believe FinTech is a positive and just 32% think it is a threat. Yell managing director Nigel Roberts said the company predicts that Australian FinTechs will eventually be swallowed up by the larger, more established companies. “While there is a thriving FinTech community in Australia, we feel their impact will likely be more limited than in other global markets,” he said. “Australia has one of the strongest established […]

DETAIL
Nov
04

Banks team up with their FinTech competitors

These are challenging times for the incumbent heavyweights of the financial services sector. Beset by regulatory, governance, technological, capital, and investment issues, they are increasingly facing competition for business from a whole host of new players, primarily from ‘FinTechs’. Growth of marketplace lending In the case of online lenders, this trend began in the UK in the mid-2000s when Zopa, the world’s first digital and now Europe’s largest peer-to-peer (now called marketplace) provider, launched, quickly followed by the likes of Prosper, Lending Club, and OnDeck in the US. Eleven years on, Zopa has lent around 1.8 billion pounds to more than 150,000 borrowers funded by 63,000 investors of whom 53,000 […]

DETAIL
Nov
03

EY FinTech Australia Census 2016

FinTech Australia and EY Sweeney release the most comprehensive analysis of Australia’s fintech ecosystem to date, the EY FinTech Australia Census 2016 FinTech Australia and EY Sweeney are today releasing the inaugural EY FinTech Australia Census 2016, the most comprehensive and detailed report on the Australian fintech industry to date. The research was formally launched in Melbourne today by EY’s Anita Kimber at FinTech Australia’s national summit, Collab/Collide 2016 in partnership with LaunchVic. This significant piece of research was commissioned by FinTech Australia as part of their efforts to foster a thriving fintech ecosystem in Australia. The report identifies important characteristics of the Australian fintech industry, and establishes a set […]

DETAIL

Thorney invests in Timelio fund for invoice financing

Thorney Investment Group has seeded the Timelio Capital Fund, a new unit trust to be offered to institutional investors seeking a diversified exposure to the emerging asset class of invoice financing. Thorney and Timelio, a Melbourne-based fintech that has built a peer-to-peer platform allowing small businesses to access funding based on the amount of money owed to them on unpaid invoices, expect the new fund to grow to $100 million over the short-to-medium term. Timelio has also raised $5 million in fresh equity, backed by Thorney and former ANZ Banking Group director John Dahlsen, a recent critic of the big banks. Timelio has facilitated $45 million in funding for small […]

DETAIL
Nov
01

Fintech could be bigger than ATMs, PayPal, and Bitcoin combined

We’ve entered the most profound era of change for financial services companies since the 1970s brought us index mutual funds, discount brokers and ATMs. No firm is immune from the coming disruption and every company must have a strategy to harness the powerful advantages of the new financial technology (“fintech”) revolution. The battle already underway will create surprising winners and stunned losers among some of the most powerful names in the financial world: The most contentious conflicts (and partnerships) will be between startups that are completely reengineering decades-old practices, traditional power players who are furiously trying to adapt with their own innovations, and total disruption of established technology & processes: […]

DETAIL