Andrew Whelan, CEO of Sancus and GLI Finance, will be attending AltFi Global Summit 2016. Read his blog on this…
GLI Finance @ AltFi Global Summit 2016
This week I will be in New York attending AltFi Global Summit 2016 on 14th September. The event is a ‘must attend’ for those in the sector and is set to explore the full spectrum of alternative finance as the asset class continues to evolve.
As well as the opportunity to meet new people and companies and reconnect with those I know, the summit presents the opportunity to take stock of key themes affecting the sector and reflect on the issues we must now focus on going forwards.
The following is a snapshot of what I am looking forward to hearing more about at the event:
The alternative finance sector has made great progress to push into the mainstream in recent times read review. The launch of the Innovative Finance ISA in April has aligned peer-to-peer lending products alongside other popular savings products, while the recommendations of the Open Banking Working Group have the potential to put alternative finance providers on the map as a viable option for businesses and individuals looking for funding outside of the scope of traditional lenders.
However, these developments must be supported by a stringent regulatory framework to ensure lenders and borrowers alike can put their trust in our sector. I’ll be looking for innovative ideas and honest discussion at the AltFi summit around what we can do as a sector to improve transparency and standards.
A key driver of growth within the sector will be our ability to attract institutional investment in the future. Against a backdrop of rock bottom interest rates and increased demand from SMEs seeking funding in a tough post-Brexit environment, the alternative finance sector currently presents a very attractive opportunity to investors.
In order to maximise this opportunity it is vital that the sector positions itself as a viable institutional asset class. Stricter regulation is again important here, but awareness also plays a crucial role in ensuring institutions are properly educated on the sector. As an industry we need to improve institutions’ understanding of the nuances within the sector so they are better informed, and as such more likely to invest in the product.
This year has seen much in the way of innovation between traditional banks and emerging fintech players. With established finance providers held back by legacy technology and strict regulation, and fintech businesses often struggling to get the firepower behind them to really make a dent in the market, it only makes sense for the two to come together to make the most of their strengths. This could be especially important within emerging niches in the market.
I am excited for the future of the sector and look forward to coming together with some of its brightest voices for what promises to be quite the event.
I look forward to hopefully seeing you there.