Mentor/s
N/A
Participation Type
Paper Talk
Abstract
Since the 2008 financial crisis, there has been significant disruption within the financial services industry. We will pinpoint companies within the financial technology industry, particularly those that conduct lending and various products to consumers and businesses. In addition, we will discuss the benefits that are associated with this disruption and the reasoning why financial institutions like banks and hedge funds are attracted to these companies. With alternative lending becoming increasingly popular, there will be an in-depth examination concerning the risks that correlate with this newfound popularity among borrowers and investors. We will touch upon the sustainability of these alternative lenders while weighing the risks involved in recent years. There will also be a focus on the business model of these companies to see if the industry in its entirety is sustainable once the consolidation that took place in the second quarter of 2016 and risks that include event, leverage, and credit. Thus, the measured sustainability will weigh in the effects on both the market as well as those directly involved in the transactions.
College and Major available
Business Economics, Finance
Location
Panel F: University Commons UC 108
Start Day/Time
4-20-2018 12:30 PM
End Day/Time
4-20-2018 1:45 PM
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-Share Alike 4.0 License.
Disruption within Alternative Lending
Panel F: University Commons UC 108
Since the 2008 financial crisis, there has been significant disruption within the financial services industry. We will pinpoint companies within the financial technology industry, particularly those that conduct lending and various products to consumers and businesses. In addition, we will discuss the benefits that are associated with this disruption and the reasoning why financial institutions like banks and hedge funds are attracted to these companies. With alternative lending becoming increasingly popular, there will be an in-depth examination concerning the risks that correlate with this newfound popularity among borrowers and investors. We will touch upon the sustainability of these alternative lenders while weighing the risks involved in recent years. There will also be a focus on the business model of these companies to see if the industry in its entirety is sustainable once the consolidation that took place in the second quarter of 2016 and risks that include event, leverage, and credit. Thus, the measured sustainability will weigh in the effects on both the market as well as those directly involved in the transactions.
Students' Information
The whitepaper was created in a group setting within our Global Markets and Financial Institutions Class. Individuals besides James Chiavaro and Chris Saunderson who were on our team include Nicole Esposito, Tom Ketchum, and Mario Macera.