Pagaya is an asset manager based in New York; they announced that they have received $75 million in debt financing from Citi; the funds will be used for its Opportunity Fund to invest in loans by online lenders such as Prosper and LendingClub; the company uses machine learning to determine loans worthy of investment. Source
The CEO and Co-Founder of Stratyfy, Laura Kornhauser, discusses how advanced AI underwriting models are now becoming more widespread in the banking system.
Bias in credit underwriting is an issue some worry will be exacerbated by AI others believe it is the only way forward. At Fintech Nexus USA 2022, approaches were discussed to mitigate concerns.
The Cambridge Centre for Alternative Finance is a leading provider of research and reports on fintech across the globe; their...
BB&T announced last week that they were committing $50mn to fintech; the company plans implement what they are calling intelligent automation; plans include AI & machine learning, robotics processing automation, chatbots and virtual assistance & conversational commerce according to TearSheet; the company also announced they are looking at transforming branches and looking to move as much of their business to the cloud. Source.
Nav announced a partnership with Marcus by Goldman Sachs to offer SMB owners lines of credit through machine learning on the platform.
ZestFinance, the pioneering artificial intelligence software company focused on credit, has launched a new tool called ZAML Fair that aims to...
With AI and machine learning technology becoming better banks of all sizes have started to employ chatbots with more regularity; Crowdfund Insider takes a look at 5 banks employing the technology; banks include Bank of America’s Erica, Swedbank’s Nina, Capital One’s Eno, SEB’s Aida and Wells Fargo; in most cases the chatbots help with simple tasks like checking balances, paying bills and finding the closest ATM. Source.
BlackRock, the world’s largest investment group, is setting up an AI research lab; the move is part of a wider industry trend by asset managers to use AI and machine learning for investments; the lab is meant to help their current teams and clients better understand how best to utilize the new technologies; “Big data offers a world of possibilities for generating alpha [market beating returns] but traditional techniques are not good enough to analyse the huge volumes of information involved,” said David Wright, head of product strategy in Europe for BlackRock’s scientific active equity division, to the FT. Source.
Simility, a machine learning adaptive fraud prevention product, raised $17.5mn from PayPal, The Valley Fund and Trinity Ventures; the company helps to prevent fraud and abuse in real time using machine learning and big data analytics; Rahul Pangam, Co-Founder and CEO of Simility, tells Crowdfund Insider, “Digital disruption in the financial and commerce sectors has resulted in the need for a fraud and risk management solution that goes beyond legacy.”; the company plans to build out data science teams and continue expanding globally. Source.