1 00:00:00.000 --> 00:00:02.610 Sean Murray: Today on deBanked News, stocks are going up, 2 00:00:02.730 --> 00:00:05.850 interest rates will remain low, and we'll get some insight from 3 00:00:05.850 --> 00:00:08.880 a fintech infrastructure company. But first, let's go 4 00:00:08.880 --> 00:00:10.110 over to Johny Fernandez. 5 00:00:18.330 --> 00:00:20.640 Johny Fernandez: Hey, Sean. So right behind me is the Office of 6 00:00:20.640 --> 00:00:23.730 the New York Federal Reserve. It recently agreed that it will 7 00:00:23.730 --> 00:00:27.690 keep interest rates to less than 1%, which is a good or bad thing 8 00:00:27.690 --> 00:00:30.300 depending on what you're trying to do. For example, if you're 9 00:00:30.300 --> 00:00:33.150 trying to secure a home mortgage right now, it could be a great 10 00:00:33.150 --> 00:00:36.540 time to do so. But if your primary form of investing is 11 00:00:36.540 --> 00:00:39.540 keeping your money in savings accounts, right now it may not 12 00:00:39.540 --> 00:00:42.750 be the best time. For example, Marcus, which is owned by 13 00:00:42.750 --> 00:00:45.810 Goldman Sachs recently agreed that it will keep its annual 14 00:00:45.810 --> 00:00:49.860 savings account rates to less than 1%. Goldman Sachs has 15 00:00:49.860 --> 00:00:54.000 predicted that the Fed will keep rates around zero until 2025. 16 00:00:54.330 --> 00:00:57.630 Richard Clarida, the Central Bank's vice chairman, said that 17 00:00:57.630 --> 00:01:00.960 they would not raise rates just because the unemployment rate 18 00:01:00.960 --> 00:01:04.290 falls. And if investing is what you're looking to do, it should 19 00:01:04.290 --> 00:01:06.510 be worth noting that the Securities and Exchange 20 00:01:06.510 --> 00:01:10.230 Commission recently redefined and expanded the definition of 21 00:01:10.230 --> 00:01:13.410 an accredited investor. It says that the move should promote 22 00:01:13.410 --> 00:01:16.380 investment opportunities by maintaining investment 23 00:01:16.380 --> 00:01:20.310 protection and also promoting capital formation. Now, if you 24 00:01:20.310 --> 00:01:23.370 meet the expanded criteria, or even if you don't, it is 25 00:01:23.370 --> 00:01:26.490 important to always do your due diligence, regardless of the 26 00:01:26.490 --> 00:01:29.880 investment big or small. Sean that's the latest here from 27 00:01:29.880 --> 00:01:32.850 lower Manhattan. I'm Johny Fernandez with deBanked News. 28 00:01:32.000 --> 00:01:35.420 Sean Murray: Thanks, Johny. The stock market is currently 29 00:01:35.420 --> 00:01:38.000 enjoying all time highs, seemingly in defiance of 30 00:01:38.000 --> 00:01:41.060 reality. We commonly hear about hedge funds looking for double 31 00:01:41.060 --> 00:01:44.240 digit returns, and it can be pretty hard to find, but now we 32 00:01:44.240 --> 00:01:47.360 have stock indexes that are producing just that. In fact, 33 00:01:47.360 --> 00:01:51.470 the NASDAQ is up year-to-date over 30%. Imagine if that 34 00:01:51.470 --> 00:01:56.210 happened every year. Wait, no. Don't do that. Our next guest 35 00:01:56.210 --> 00:01:57.770 offers something quite revolutionary 36 00:01:57.830 --> 00:02:02.150 lending-as-a-service. We spoke with Timothy Li, CEO of Alchemy, 37 00:02:02.270 --> 00:02:05.330 who told us how banks are changing their mindset to adapt 38 00:02:05.330 --> 00:02:06.560 to the 2020 world. 39 00:02:06.660 --> 00:02:09.690 Timothy Li: Alchemy is an end-to-end private label lending 40 00:02:09.690 --> 00:02:12.990 platform. Lending as a service is essentially software 41 00:02:12.990 --> 00:02:16.950 analytics and servicing. We have call centers. We have an 42 00:02:16.950 --> 00:02:20.070 analytics team that can build models for you guys. And as well 43 00:02:20.070 --> 00:02:23.550 as a technology as a centerpiece of this whole thing. Even before 44 00:02:23.610 --> 00:02:27.210 you know what's happening today before COVID Thanks all what you 45 00:02:27.210 --> 00:02:29.880 know Lending Club, Prosper, OnDeck and Kabbage, what these 46 00:02:29.880 --> 00:02:34.080 guys have done. Banks credit unions, regionals are all 47 00:02:34.260 --> 00:02:36.930 scrambling a little bit right. And we've seen the partnership 48 00:02:36.930 --> 00:02:41.580 between JPMorgan Chase and ODX or OnDeck a couple of years ago. 49 00:02:41.790 --> 00:02:46.350 So the banks were you know, learning, wondering, right? I 50 00:02:46.350 --> 00:02:49.290 can't say they're scared. They have money and technology. But 51 00:02:49.290 --> 00:02:51.630 what's happening with COVID is that they there's a new sense of 52 00:02:51.630 --> 00:02:54.210 urgency. You know, we have conversation with banks, such 53 00:02:54.210 --> 00:02:58.050 as, "hey, Tim, you know, my digital strategy was, you know, 54 00:02:58.080 --> 00:03:01.110 got a 48 month, four-year plan And now I got to acceler 55 00:03:01.110 --> 00:03:03.540 te everything into a four mo th plan. What do we do," right? 56 00:03:03.540 --> 00:03:08.580 Do I build do I lease, or do I, ou know, do I just cry?" So we 57 00:03:08.580 --> 00:03:11.280 ee a lot of these conversati ns happening. 58 00:03:10.260 --> 00:03:12.511 Sean Murray: Thanks, Tim. That's all for today. From deBanked 59 00:03:12.558 --> 00:03:13.590 News. I'm Sean Murray.