Shares of many non-banking finance companies crashed in the last 10 trading days due to the announcement of a special investigation team by the Maharashtra government to investigate violations by microfinance companies, and due to the impact of demonetization on their cash-intensive operations. Some shares fell by as much as 25% as disbursements and collections fell amid a cash crunch. The situation is not expected to improve for the next 18-24 months as rumors could lead to increased defaults and lower profitability due to a drop in business.
SOFIS - Peer to Peer Lending Platform in IndonesiaAndy Wijaya
SOFIS is a leading peer to peer platform in Indonesia for personal and business loans. We connect borrowers and lenders in our secured, innovative and user friendly online platform.
SOFIS adalah platform marketplace untuk peer to peer lending bagi pinjaman usaha dan individu, dimana kami menghubungkan pendana dan peminjam di platform kami yang mudah digunakan, lengkap dan aman.
Connect with us @ http://sofis.id
This is who investigates fraud and violations concerning real estate and mortgage in Utah. This course describes the rules and what happens to people who violate the rules set forth by the CFPB. It also includes good information for realtors in Utah so they can better protect their clients.
I recently returned from the MDRT meeting in Vancouver BC, many of the "big hitters" are using the "Living Benefit" policies because of the "added value" they bring to the client along with "something new and different" to the insurance discussion ( i.e. do you have the "old" insurance or the "new" insurance? etc.) They also mentioned the statistic that 80% of the people will have a Heart, Stroke, or Cancer concerns ( Critical Illness) in their lifetime.
Peer-to-Peer lending: What is Lending Club?David Peat
A presentation given to the Trade and Investment Society on Lending Club, a peer-to-peer lending start-up and currently the largest P2P lending company on the planet.
I recently returned from the MDRT meeting in Vancouver BC, many of the "big hitters" are using the "Living Benefit" policies because of the "added value" they bring to the client along with "something new and different" to the insurance discussion ( i.e. do you have the "old" insurance or the "new" insurance? etc.) They also mentioned the statistic that 80% of the people will have a Heart, Stroke, or Cancer concerns ( Critical Illness) in their lifetime.
SOFIS - Peer to Peer Lending Platform in IndonesiaAndy Wijaya
SOFIS is a leading peer to peer platform in Indonesia for personal and business loans. We connect borrowers and lenders in our secured, innovative and user friendly online platform.
SOFIS adalah platform marketplace untuk peer to peer lending bagi pinjaman usaha dan individu, dimana kami menghubungkan pendana dan peminjam di platform kami yang mudah digunakan, lengkap dan aman.
Connect with us @ http://sofis.id
This is who investigates fraud and violations concerning real estate and mortgage in Utah. This course describes the rules and what happens to people who violate the rules set forth by the CFPB. It also includes good information for realtors in Utah so they can better protect their clients.
I recently returned from the MDRT meeting in Vancouver BC, many of the "big hitters" are using the "Living Benefit" policies because of the "added value" they bring to the client along with "something new and different" to the insurance discussion ( i.e. do you have the "old" insurance or the "new" insurance? etc.) They also mentioned the statistic that 80% of the people will have a Heart, Stroke, or Cancer concerns ( Critical Illness) in their lifetime.
Peer-to-Peer lending: What is Lending Club?David Peat
A presentation given to the Trade and Investment Society on Lending Club, a peer-to-peer lending start-up and currently the largest P2P lending company on the planet.
I recently returned from the MDRT meeting in Vancouver BC, many of the "big hitters" are using the "Living Benefit" policies because of the "added value" they bring to the client along with "something new and different" to the insurance discussion ( i.e. do you have the "old" insurance or the "new" insurance? etc.) They also mentioned the statistic that 80% of the people will have a Heart, Stroke, or Cancer concerns ( Critical Illness) in their lifetime.
C-Suite Snacks Webinar Series: In The Weeds- The Cannabis Industry...What's I...Citrin Cooperman
Sign up for our weekly C-Suite Snacks webinars here: https://www.citrincooperman.com/infocus/c-suite-snacks
Our C-Suite Snacks webinar series provides the middle market with brief, strategic, and tactical business improvement information for 30 minutes every week. Join Citrin Cooperman live every Thursday at noon for snack-sized insights for business executives.
When in your lifetime have you witnessed the birth of an industry? As this industry transitions from illegality into a state-legal/federally illegal business, it faces business challenges like no other. Between difficulties in obtaining basic banking services, being taxed on gross margin rather than net income, and complex state and local regulatory environments, business owners and entrepreneurs face enormous hurdles.
During this webinar session, we covered the business challenges in the cannabis industry. Key takeaways included:
• Overview and business challenges faces
• Taxation of the industry
• Cash flow and fraud risks
P2P Investment Returns on Fully Managed AccountsSummer Tucker
P2P lending enables individual investors to access the new asset class of consumer credit by facilitating loans to borrowers through online marketplaces like Lending Club and Prosper. Here is the historical performance.
Brian Zwerner's Kensington Blake Capital entity begins investing with ProsperBrian Zwerner
Brian Zwerner, Managing Principal of Kensington Blake Capital, announces that the firm has begun an investment program on the Peer-to-Peer lending site of Prosper. Prosper offers consumer loans primarily used to refinance and consolidate credit card debt. Investors such as Brian Zwerner are able to view 20+ individual loan characteristics when selecting the loans to invest in.
Regulations, compliance and overall risk management place a significant operational burden on financial services.
Online lenders are no different. You have to comply with multiple regulatory requirements, and you are- like any other financial service- very susceptible to fraud.
If you want to prevent and reduce loan application fraud, your strategy and fraud detection system should include a combination of identity verification, account onboarding protection, and account monitoring.
In this post, we’ll explain how identity verification and Know Your Customer processes are related, and how you can expand them for better fraud coverage.
We’ve also provided specific recommendations for identity verification security tests, and account origination protection strategies that can help you prevent fraud during the loan application process.
This short guide provides you with an introduction to how you can earn attractive returns of between 5-12% pa* by investing in Peer-to-Peer Loans secured against UK income producing Commercial Property.
*After fees, but before bad debts & taxes. Capital at risk
Are you baffled by jargon when it comes to investing? At Huddle we want to educate everyone about peer to peer lending, and help you get to grips with the concepts behind crowdfunding so that you can make more informed choices about money matters. Follow our blog at www.huddlecapital.com for more educational content.
The banking industry appears to be undergoing a renaissance driven by changing consumer behavior and technical innovation. Software is eating the industry. In retrospect, we can see how the first wave of innovation came in areas such as online account access and payments. Changing consumer behavior (such as the shift to mobile) and the use of big data has enabled increasingly complex transactions (such as lending and asset management) to move online. Consumers have largely stopped going to retail branches, and reserve the occasional branch visit for major one-off transactions.
Our first investment in the financial services industry came many years ago with an investment in LendingClub. We put both equity and debt into the company, making a sizable purchase of loans via the platform itself. We saw the company’s potential to bring marketplace dynamics and software disruption to the lending industry. The end goal for borrowers and investors on the platform was simple: lower cost loans for borrowers, increased yields for investors, and high levels of customer satisfaction. As a result, LendingClub has grown into a sizable public company. With experience on the platform and a realization of the potentially transformative nature of this model, we’ve gone on to invest in companies across the online lending space: Kabbage (www.kabbage.com), LendUp (www.lendup.com), and SoFi (www.sofi.com).
The renaissance in financial services has drawn in substantial amounts of venture capital. In the past year alone, the number of fintech deals has grown 16% and the capital funded is up 46%.
While many entrepreneurs develop expertise in the specific segment they intend to disrupt, we’ve noticed that startups usually don’t have the time or resources to look outside their niche and understand how they fit into the larger context of banking and lending markets. To help put the industry in perspective, we developed an overview of the banking industry in the US. What’s remarkable is not only the insights this gives into the financial lives of Americans (be it millenials or seniors), but also the perspective this gives us on the large banks we’ve all come to use. Indeed, consolidation over the last several decades has led the four major banks (JP Morgan, Bank of America, Citigroup, and Wells Fargo) to hold around half of the market’s depository assets.
Today we’re happy to provide the first version of this industry overview. We’ve chosen brevity over depth, so as to provide a snapshot of the overall banking landscape. We’ll continue to iterate on this overview and welcome questions and comments. In subsequent posts, we plan to provide deeper dives into sectors that are of interest to both ourselves and others. We look forward to contributing to what feels like yet another opportunity to be at the front door of history-making companies.
Peer-to-Peer Lending: Examining the Industry and the Borrower ExperienceCorporate Insight
Online peer-to-peer (P2P) lending websites, often referred to as “Shadow Lenders”, have gained significant traction since the credit crunch resulting from the 2008 financial crisis. The purpose of these rapidly-growing websites is to facilitate loans of under $35,000 between borrowers and investors. The result is a transparent loan platform where individual investors can determine a borrower’s credit worthiness and partially or fully fund a loan at an attractive interest rate.
This slide deck offers background on the P2P lending industry and takes a closer look at the borrower experience by profiling two leading firms in the space – Prosper and Lending Club. Five key takeaways and tips for P2P lenders are also highlighted.
Peer to peer lending will work the whys and howsdhirencash
The presentation gives 3 strong justifications for peer to peer lending to succeed in India. It states that this concept will really help in the growth of the economy while providing an alternate source of credit
Double Trouble for Top Stocks in FMCG SectorShailesh Saraf
For fast-moving consumer goods companies, it’s a double trouble. With companies just coming out of the demand shock post-demonetization, the rise in crude prices following production cuts announced by OPEC, comes as a new challenge. All the categories, except foods, are now witnessing cost inflation.
C-Suite Snacks Webinar Series: In The Weeds- The Cannabis Industry...What's I...Citrin Cooperman
Sign up for our weekly C-Suite Snacks webinars here: https://www.citrincooperman.com/infocus/c-suite-snacks
Our C-Suite Snacks webinar series provides the middle market with brief, strategic, and tactical business improvement information for 30 minutes every week. Join Citrin Cooperman live every Thursday at noon for snack-sized insights for business executives.
When in your lifetime have you witnessed the birth of an industry? As this industry transitions from illegality into a state-legal/federally illegal business, it faces business challenges like no other. Between difficulties in obtaining basic banking services, being taxed on gross margin rather than net income, and complex state and local regulatory environments, business owners and entrepreneurs face enormous hurdles.
During this webinar session, we covered the business challenges in the cannabis industry. Key takeaways included:
• Overview and business challenges faces
• Taxation of the industry
• Cash flow and fraud risks
P2P Investment Returns on Fully Managed AccountsSummer Tucker
P2P lending enables individual investors to access the new asset class of consumer credit by facilitating loans to borrowers through online marketplaces like Lending Club and Prosper. Here is the historical performance.
Brian Zwerner's Kensington Blake Capital entity begins investing with ProsperBrian Zwerner
Brian Zwerner, Managing Principal of Kensington Blake Capital, announces that the firm has begun an investment program on the Peer-to-Peer lending site of Prosper. Prosper offers consumer loans primarily used to refinance and consolidate credit card debt. Investors such as Brian Zwerner are able to view 20+ individual loan characteristics when selecting the loans to invest in.
Regulations, compliance and overall risk management place a significant operational burden on financial services.
Online lenders are no different. You have to comply with multiple regulatory requirements, and you are- like any other financial service- very susceptible to fraud.
If you want to prevent and reduce loan application fraud, your strategy and fraud detection system should include a combination of identity verification, account onboarding protection, and account monitoring.
In this post, we’ll explain how identity verification and Know Your Customer processes are related, and how you can expand them for better fraud coverage.
We’ve also provided specific recommendations for identity verification security tests, and account origination protection strategies that can help you prevent fraud during the loan application process.
This short guide provides you with an introduction to how you can earn attractive returns of between 5-12% pa* by investing in Peer-to-Peer Loans secured against UK income producing Commercial Property.
*After fees, but before bad debts & taxes. Capital at risk
Are you baffled by jargon when it comes to investing? At Huddle we want to educate everyone about peer to peer lending, and help you get to grips with the concepts behind crowdfunding so that you can make more informed choices about money matters. Follow our blog at www.huddlecapital.com for more educational content.
The banking industry appears to be undergoing a renaissance driven by changing consumer behavior and technical innovation. Software is eating the industry. In retrospect, we can see how the first wave of innovation came in areas such as online account access and payments. Changing consumer behavior (such as the shift to mobile) and the use of big data has enabled increasingly complex transactions (such as lending and asset management) to move online. Consumers have largely stopped going to retail branches, and reserve the occasional branch visit for major one-off transactions.
Our first investment in the financial services industry came many years ago with an investment in LendingClub. We put both equity and debt into the company, making a sizable purchase of loans via the platform itself. We saw the company’s potential to bring marketplace dynamics and software disruption to the lending industry. The end goal for borrowers and investors on the platform was simple: lower cost loans for borrowers, increased yields for investors, and high levels of customer satisfaction. As a result, LendingClub has grown into a sizable public company. With experience on the platform and a realization of the potentially transformative nature of this model, we’ve gone on to invest in companies across the online lending space: Kabbage (www.kabbage.com), LendUp (www.lendup.com), and SoFi (www.sofi.com).
The renaissance in financial services has drawn in substantial amounts of venture capital. In the past year alone, the number of fintech deals has grown 16% and the capital funded is up 46%.
While many entrepreneurs develop expertise in the specific segment they intend to disrupt, we’ve noticed that startups usually don’t have the time or resources to look outside their niche and understand how they fit into the larger context of banking and lending markets. To help put the industry in perspective, we developed an overview of the banking industry in the US. What’s remarkable is not only the insights this gives into the financial lives of Americans (be it millenials or seniors), but also the perspective this gives us on the large banks we’ve all come to use. Indeed, consolidation over the last several decades has led the four major banks (JP Morgan, Bank of America, Citigroup, and Wells Fargo) to hold around half of the market’s depository assets.
Today we’re happy to provide the first version of this industry overview. We’ve chosen brevity over depth, so as to provide a snapshot of the overall banking landscape. We’ll continue to iterate on this overview and welcome questions and comments. In subsequent posts, we plan to provide deeper dives into sectors that are of interest to both ourselves and others. We look forward to contributing to what feels like yet another opportunity to be at the front door of history-making companies.
Peer-to-Peer Lending: Examining the Industry and the Borrower ExperienceCorporate Insight
Online peer-to-peer (P2P) lending websites, often referred to as “Shadow Lenders”, have gained significant traction since the credit crunch resulting from the 2008 financial crisis. The purpose of these rapidly-growing websites is to facilitate loans of under $35,000 between borrowers and investors. The result is a transparent loan platform where individual investors can determine a borrower’s credit worthiness and partially or fully fund a loan at an attractive interest rate.
This slide deck offers background on the P2P lending industry and takes a closer look at the borrower experience by profiling two leading firms in the space – Prosper and Lending Club. Five key takeaways and tips for P2P lenders are also highlighted.
Peer to peer lending will work the whys and howsdhirencash
The presentation gives 3 strong justifications for peer to peer lending to succeed in India. It states that this concept will really help in the growth of the economy while providing an alternate source of credit
Double Trouble for Top Stocks in FMCG SectorShailesh Saraf
For fast-moving consumer goods companies, it’s a double trouble. With companies just coming out of the demand shock post-demonetization, the rise in crude prices following production cuts announced by OPEC, comes as a new challenge. All the categories, except foods, are now witnessing cost inflation.
New Media Tools for Journalism: Community And ConversationSteve Garfield
Looking at places on the web to find and engage in conversation.
Presented at Boston University, College of Communication, School of Journalism on 10/23/08
Carve-outs and Mergers and Acquisitions place unique demands on IT. How can y...Rita Barry
Mergers are complex and Carve-outs only add to the dif culty and the level of complexity that the delivery team must manage. The creation of a stand-alone entity in a matter of weeks is daunting; moreover, the lack of cooperation from the legacy organization or the attrition of employees creates a chaotic environment that must be overcome. RKON helps clients to determine the most favorable level of IT sourcing and to implement the most appropriate technology for the new business unit — all to ensure a successful “day one.”
Brazil's future depends on a new constituent and retaking of developmentFernando Alcoforado
The path that can lead to economic and social progress in Brazil requires the overcoming of political and economic crises that threaten the future of the country. Overcoming the political crisis requires the convening of an Exclusive National Constituent Assembly to reorder the national life before the bankruptcy of political system in force in Brazil. Overcoming the economic crisis requires the restructuring of the Brazilian economy on new foundations radically different from the current model.
How to mitigate the environmental impacts in the productive sectors and in th...Fernando Alcoforado
This article aims to show how to mitigate the environmental impacts in the agricultural, livestock, industrial and oil sectors, the thermoelectric and hydroelectric plants, in nuclear power plants, the road transport sector, rail, air transportation, waterway, maritime and pipeline and cities.
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight
Election in 4 States: Expectations from the GovernmentNeha Sharma
The Indian democracy is in an active mode in the backdrop of NovemberDecember Elections in 4 important States. The performance of the State Government as well as of the Central Government is under active analysis. The national economic and political scenario will have a major bearing on the voting pattern.
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight
Ease of doing business challenges persistingNeha Sharma
The new government has been brought to power by electorate of our nation along with large expectations by industry, businesses and professions and other stakeholders of the Indian economy.
GIC Housing Finance Ltd (GICHF) was incorporated as ‘GIC Grih Vitta Limited’ on 12th December 1989. The name was changed to GICHF on 16th November 1993. It’s promoted by well known domestic re-insurer General Insurance Corporation (GIC) and is a well-known company in India’s Housing Finance market.
The Company was formed with the objective of entering into the field of direct lending to individuals and other corporate to accelerate the housing activities in India. The primary business of GICHF is granting housing loans to individuals and to persons/entities engaged in construction of houses/flats for residential purposes.
We like the company on account of its steady well managed growth in a growing market. The company has become slightly aggressive in terms of expansion into states other than Maharashtra and has been consistently adding new branches outside Maharashtra. The company also seems to have managed its loan book well and has made adequate provisions. GICHF is trying to reduce the share of bank borrowings and the same will help in reducing cost of funds with consequent improvement in net interest margins (NIM).
Stock Market Technical Analysis, Stock/Share Trading.Get the latest stock technical analysis of stock/share trends, BSE/NSE technical chart, live market map and more technical stock information at Capitalheight
Beware Of These 5 High Returning but High PE StocksShailesh Saraf
The recent rise in commodity prices and the government’s cash ban have been major setbacks for the so-called ‘growth’ stocks, which enjoy high PE multiples on account of their above-average earnings growth comparative to the broader market. Many of these stocks are from the Realty household sector, which generally have stable earnings outlook. But as earnings recovery gets deferred for India Inc, especially on the consumer side, analysts are advising investors to become cautious of high PE stocks despite the recent correction.
1. Shares of NBFC Crashes In The Course Of 10 Days
Shares of non-banking
finance companies (NBFCs)
crashed further after it was
reported that the
Maharashtra government
will form a special
investigation team (SIT) in
order to investigate
violations of norms by
microfinance companies.
During the last 10 trading
sessions, Bharat Financial
Inclusion Ltd gained only on one day, Shriram Transport Finance Co. Ltd,
Repco Home Finance Ltd, GIC Housing Finance Ltd gained in two sessions,
while Shriram City Union Finance Ltd, Bajaj Finance Ltd, L&T Finance
Holdings Ltd, Mahindra & Mahindra Financial Services Ltd, Equitas Holdings
Ltd and Ujjivan Financial Services Ltd increased in three sessions.
The government formed the SIT after legislators and farm activists hinted that
serious irregularities, like disbursement of loans to more number of people
than allowed and steep interest rates.
On account of political risks that are playing out in certain areas, one cannot
ignore the possibility of some write-offs. However, the current phase is
transient in nature and the strong players will endure some collateral damage.
A big positive that can emerge out of the current situation is that the
indiscipline caused by fringe MFIs could be curbed.
Also, the sentiment of investors was hurted as they expect that the cash
crunch will generate lower profitability of these companies on falling
disbursements and likely rise in credit costs. On 8th November, Prime Minister
Narendra Modi announced scrapping of Rs500 and Rs1,000 notes as legal
tender in order to cure the country of black money.
2. The demonetization related cash crunch has had a direct impact on the cash
intensive operations of microfinance companies in the form of a fall in fresh
disbursements and loan collection.
Also, rumors of loan waivers and associated political instigation to default are
raising risks of mass defaults in certain geographies. The situation is unlikely
to improve soon and it anticipates bank transactions to become more painful
for the coming 18-24 months.
In the last two weeks, the following shares were dipped in a great way :
Bharat Financial share price Ltd lost 25.5 per cent.
Shriram Transport share price tanked 10 per cent.
Repco share price descended 7.3 per cent.
GIC Housing Finance share price dipped 8.5 per cent.
DHFL share price fell 9.3 per cent.
Muthoot Finance share price rallied down by 11 per cent.
Shriram City share price fell 5.2 per cent.
Bajaj Finance share price lost 12.3 per cent.
LT Finance share price fell 5.4 per cent.
Mahindra Finance down by 12.3 per cent.
Ujjivan share price tanked 16 per cent.
3. Disclaimer
The investment advice or guidance provided by way of recommendations, reports or other ways
are solely the personal views of the research team. Users are advised to use the data for the purpose
of information and rely on their own judgment while making investment decision.
Dynamic Equities Pvt. Ltd - SEBI Investment Advisory Reg. No.: INA300002022
Disclosure
Dynamic Equities Pvt. Ltd. is a member of NSE, BSE, MCX SX and a DP with NSDL & CDSL. It is also
engaged in Investment Advisory Services and Portfolio Management Services. Dynamic
Commodities Pvt. Ltd., associate company, is a member of MCX & NCDEX. We declare that our
activities were neither suspended nor we have defaulted with any stock exchange authority with
whom we are registered. SEBI, Exchanges and Depositories have conducted the routine inspection
and based on their observations have issued advise letters or levied minor penalty on for certain
operational deviations.
Answers to the Best of our knowledge and belief of Dynamic/ its Associates/ Research Analyst:
DYNAMIC/its Associates/ Research Analyst/ his Relative:
Do not have any financial interest / any actual/beneficial ownership in the subject
company.
Do not have any other material conflict of interest at the time of publication of the research
report
Have not received any compensation from the subject company in the past twelve months
Have not managed or co-managed public offering of securities for the subject company.
Have not received any compensation for brokerage services or any products / services or
any compensation or other benefits from the subject company, nor engaged in market
making activity for the subject company
Have not served as an officer, director or employee of the subject company
Article Written by
Madhurima Chowdhury