New Report Explores Impact of Exploding U.S. Online Alternative Finance Market
The online alternative finance market continues to break ground in the United States, generating more than $36 billion in funding in 2015 – an increase of more than 200 percent from 2014. And this growth is only expected to accelerate as disruptive new fintech companies emerge and transform the landscape of the banking industry.
A new report, Breaking New Ground: The Americas Alternative Finance Benchmarking Report, sponsored by KPMG and authored by the Cambridge Centre for Alternative Finance and the Polsky Center at the Chicago Booth School of Business, explores the impact of online alternative finance activity on the marketplace lending space and how online unsecured lending has rattled the banking world.
Among other findings, the report identifies these key drivers of digital banking transformation:
These changes are permanent benchmarks that banks must now rise up to meet,” stated Fiona Grandi, partner and head of KPMG’s U.S. fintech group. “You may argue whether today’s unicorns will be here tomorrow; however, the shift towards the digital bank is indisputable.”
Although many questions remain, one point is clear: innovation will continue, and you need to be fully up to speed on the challenges – and opportunities – that lie ahead for fintech and marketplace lending.