Closing Keynote: Ron Suber
Closing keynote address by Ron Suber, President of Prosper Marketplace, at LendIt USA 2015.
View the slides here.
What were the moonshots for markeplace lending and p2p lending growth in the past two years? Which ones were hit? In his closing keynote, Ron discusses major milestones.
• Loan securitization happened this year (one rated, one unrated) and they are trading well
• Multiple billion dollar valuations of platforms and origination
• Quality underwriting with Lending Club going public
• Bank partnerships
Ron believes there are three legs to a successful platform: innovative products, diversified longterm capital and what's under the hood (pricing, credit, servicing, underwriting etc). Security is a major issue and requires huge investments. Other important factors include investment in KPI’s along with great analytics, employees, tech, and transparency. This will allow us to scale and grow securely for the long term, but as the industry continues to mature, rates will rise and platforms will fall.
Ron highlights that securitization is the current secondary market and warns of dangerous derivatives will come if we are not careful. He then sets our next set of BHAGS (Big Hairy Audacious Goals) for our industry.