SHADOW BANKING AND FINTECH:
BRIEF PRESENTATION
Dominique C H E S N E A U
Managing partner TRESORISKCONSEIL
Member of the ITC IAFEI
GROWTH RATE
BANK CREDIT IS NOT SUFFICIENT.
SAVINGS AND RISK APPETITE NEED NEW
DISTRIBUTION/ALLOCATION CHANNELS
3,6%
1,2%
6,8%
5,2%
1,3%
4,9%
3,3%
1,4%
6,3%
5,3%
2,3%
5,2%
Etats-Unis Zone euro Chine ASEAN-5 Amérique latineet Caraïbes
Afriquesubsaharienne
2015
2016
SHADOW BANKING VS BANK?
Borrowers
Institutional Investors
SPV Conduits
Short term liabilities
investissors
LENDERS SHAREHOLDERSE
TC.
LONG TERM SAVINGS
SHORT TERM SAVINGS
BANK CREDIT Transformation
Information assymetry Market funding and Private placement
Limited Transformation of maturity and liquidity Transparency
Indirect funding/Shadow banking Lack o iinformation and lack of transprency
SHADOW BANKING : SUNDRIES, PRODUCTS, EMERGING MARKETS
MARKETS • Shadow banking: a sustainable
alternative to the bank credit model
• From crowd funding to bitcoin
• Shadow banking : towards a « fair
securitization »
• Securitization
• Asset Backed Securities
• US PP,EURO PP
• Factoring
• Covered bonds
• Repos
• Developed countries
• Emerging markets:
- China
- India
- Brazil
• Many divergences
• Many convergences
FUTURE OF THE FINTECH CORPORATES: ORGANISATION
F A C T S 1. New private and corporate consumers appear 2. Hyper-connectivity 3. New “digital” business models 4. Virtual Currencies 5. Barriers 6. Enrichment of contents 7. Growing importance of the data 8. New eco-systems . 2 T Y P E S O F S E R V I C E S
1. Provider of Basic services: bank accounts, credit cards, e-portfolio, money transfers
2. Broker of other services (investment, trading, brokerage, wealth management, sophisticated funding products, crowdfunding, insurance, guarantees, payement…) via Apple and Google Apps
5 B U 1. Banking platform 2. Interface platform 3. Compliance procedures and processes 4. Central bank agreement 5. CRM