FinTech Daily News – Edition 55, 19.09.2017
September 19, 2017
FinTech Daily News – Edition 57, 21.09.2017
September 21, 2017

FinTech Daily News – Edition 56, 20.09.2017

FinTech Daily News

by Florin Oprea

Edition 56, 20.09.2017

Deals, Investments & M&As

SoftBank Group Will Buy A 5% Stake In ZhongAn, China’s First Online-Only Insurance Agency

Catherine Shu – TechCrunch

SoftBank Group has agreed to be a cornerstone investor in the IPO of ZhongAn, China’s first online-only insurance agency, on the Hong Kong Stock Exchange. SoftBank Group will buy a 5% stake in the company, or about 72 million shares, at the offer price, which is in the range of HKD $53.70 to HKD $59.70 per share.

FAO: ZhongAn aims to raise as much as $1.5 billion in its IPO.

Swedish Fintech Startup iZettle Lands €30m To Fund Artificial Intelligence Research From European Investment Bank

Lynsey Barber – City A.M.

iZettle is ramping up its research and development efforts and will focus on the potential applications of artificial intelligence with fresh funding from the EU’s lending arm.

FAO: In 2010 iZettle launched the world’s first mini chip card reader and software for mobile devices. Following this round the total equity funding reached $188.12m.

GoCardless, A Fintech That Makes Recurring Payments Easy For Subscription Businesses, Raises $22.5M

Steve O’Hear – TechCrunch

Once again, Accel, Balderton Capital, Notion, and Passion are backing GoCardless, this time to the tune of $22.5 million and on the back of what the startup says is record annual growth in the U.K. and strong, early traction in new markets. Outside of Blighty, the company operates its bank-to-bank payments network in the Eurozone and Sweden.

FAO: Total equity funding reaches $47.3m in 5 rounds.

China’s Financial Fortress

Nisha Gopalan – Bloomberg

A shakeup is needed. For all Beijing’s complaints about unfair treatment in the U.S., where President Donald Trump last week blocked a China-led takeover of Lattice Semiconductor Corp., the Asian country remains one of the world’s most restrictive for foreign investment. There are plenty of no-go areas apart from the traditionally sensitive sectors of media, internet and telecommunications.  

DNT: The gates of China’s financial sector will eventually open but some voices are saying that it is a little bit late for foreign companies.

FAO: Opens financial sector and closes “crytopverse”…you can follow this in Blockchain Daily News.

Payments

Transferwise Founders Set To Sell First Shares As Forex Firm Is Confirmed As Fintech Unicorn

Jasper Jolly – City A.M.

The two founders of Transferwise will sell part of their stakes in the foreign exchange start-up as part of a funding round valuing the fintech darling at $1.6bn (£1.2bn), according to reports. Taavet Hinrikus and Kristo Kaarmann are set to sell small parts of their 40% ownership of the firm as part of a Series E funding round.

FAO: Quite a natural step, don’t you think?

Lending

Chinese Micro-Lender Qudian Files For U.S. Initial Public Offering

Max A. Cherney – MarketWatch

Qudian Inc. has filed for its U.S. IPO Monday, according to SEC documents. The documents say the micro-lending company will list stock on the New York Stock Exchange via American Depository Shares under the symbol “QD.”

FAO: One of many Chinese fintech companies looking to raise funds overseas…see more related coverage in this BDN edition earlier this month…

Wealth & Personal Finance

Vanguard, Charles Schwab And Fidelity Will Reign Over Robo Advisors

Tobias Salinger – Financial Planning

Vanguard, Charles Schwab and Fidelity will press their advantages in digital advice, but Acorns is driving the sector’s massive expansion, a new study says.

FAO: Things are heating up in the robo advisors’ universe. Remember that Betterment, which recently struck a deal with Goldman Sachs and BlackRock for two new portfolio options, is aiming to launch an IPO soon.

Wealthsimple Opens In The UK

Finextra

Wealthsimple, a leading digital wealth manager, continues to make smart investing accessible and low-cost to more people with today’s announcement of the company’s expansion to the United Kingdom.

Data and Analytics

Prattle Launches Equities Analytics Platform For Investment Professionals

Bay Street

The new platform delivers real-time, quantitative analysis of corporate earnings calls from nearly 3,000 publicly traded companies in the U.S. through an intuitive user dashboard, automated earnings call reports or an integrated API.

FinTech People

The Future Of Fintech Looks Bright, But We Can’t Afford To Ignore The Skills Challenge

Charlotte Crosswell – City A.M.

Alongside Britain’s success in this exciting new field, there have been concerns about our ability to capitalise on this potential.

Latest Developments & Agreements

First Derivatives Teams With Brainpool To Develop Machine Learning

Interactive Investor

First Derivatives PLC announced on Tuesday that it is making a major investment in machine learning capabilities due to increasing interest from current and potential clients.

Regulation

Too Little, Too Late? China Can’t Seem To Get a Grip On Fintech Regulation

Chuin-Wei Yap – Wall Street Journal (subscription)

China’s regulators are ratcheting up pressure on the country’s financial sector to slow the spread of investment products targeting small investors, aiming to curb risk from a new wave of technology-driven finance.

FAO: Read my comment in the first section’s China story…

Mexico Readies Bill To Regulate Fast-Growing Fintech Industry

Sheky Espejo – Reuters

Mexico would regulate its fast-growing financial technology sector, including firms that use crypto-currencies like bitcoin, to protect consumers and spur competition.

FAO: Mexico joins the “regulate cryptoverse” club of nations…

Accelerators & Hubs

Brexit Raises Doubts Over Britain’s Fintech Future

Will Hadfield – Bloomberg

Britain’s impending exit from the European Union has put a “question mark” over the country’s attractiveness to financial technology firms, according to the head of France’s biggest peer-to-peer lender.

FAO: There is already a trend of fintech business moving to other EU countries but UK will continue to be a leader of the this sector in Europe for many years…

 

FAO: Florin Adrian Oprea, Editor-in-chief FinTech Daily News

DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News