Everyone is talking about how AI is the next big thing, and there is no doubt it is making waves. But is the world ready?
Affirm's earnings call came with an announcement of layoffs, in an effort to streamline in accordance with low revenue growth.
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Regulators' seizure of the ailing First Republic comes as no surprise after a week of speculation. JP Morgan wins the bid to acquire.
Insurance and insurtech companies are seeking synergies in the industry as technology is evolving; at the Intelligent InsurTech Europe conference this week in London, industry participants discussed the many ways companies are partnering and developing new services; the industry conference revealed many large companies are investing in insurtech through incubators and direct investment; in-house innovation labs are also a prevalent trend occurring with large insurance companies; most large insurance companies are finding it important to partner and invest with insurtech companies in order to stay current with the industry’s evolving landscape. Source
Legion Capital, a venture capital and advisory firm, has launched a subsidiary called Stage 1 Funding, LLC; the new firm will look to address the demand for small business finance; Joseph B. Hilton of the Hilton Hotel Family will serve as President and they will focus on accounts receivable finance, equipment finance and venture debt or equity. Source
US legislators have proposed that student loan debt be discharged in the case of bankruptcy; the current law gives added protection to student loan lenders by requiring the debt to be repaid in bankruptcy; lawmakers and lobbyists are also considering other provisions that would provide debt relief to student loan borrowers who have filed for bankruptcy; while the debt relief initiatives will benefit borrowers, the effects will add increased default risk for investors in private student loans and private student loan securitizations. Source
A wide range of loan options for small business funding are available; Lend Academy provides an overview of the market's credit products for small businesses in their article; loans from the Small Business Administration and large lenders have traditionally been the main focus for many borrowers however online marketplace lenders and innovative credit products such as invoice financing have greatly evolved the options for credit funding in the market. Source
The Senior Managing Director at Kroll Bond Rating Agency discusses trends in marketplace lending securitization. Source
After a successful first quarter, LendingClub posted earnings of $.39 a share on revenue of $289.5 million, beating analysts' expectations.
Kroll Bond Rating Agency has assigned preliminary ratings to a LendingClub securitization portfolio; the loan securitization, LendingClub Issuance Trust, Series 2016-NP2 (LCIT 2016-NP2), is valued at $101.75 million and includes two classes of notes with LendingClub consumer loans; the class A tranche which accounts for 84% of the deal at $85.3 million, is rated BBB; the class B tranche accounts for 16% at $16.4 million and is rated BB+. Source