Banks Have Taken Their Eye Off The Ball: Lang

The video discusses the rise of crowdfunding and its impact on traditional banks, highlighting the advantages and disadvantages of unregulated markets. It explores the regulation of equity crowdfunding and peer-to-peer lending, and the appeal to different investor types. The need for innovation in traditional banking models is emphasized, particularly for the SME market. The growth of fintech, especially in London, is discussed, along with the opportunities it presents and the support from the government.

What is one of the main advantages that traditional banks have over new financial intermediaries?

• Better customer service

• Higher interest rates

• Ability to mismatch funding terms

• Lower operational costs

What is a key concern about the crowdfunding market?

• It is only for large businesses

• It is unregulated

• It is too expensive

• It lacks customer engagement

What is one reason businesses might choose alternative finance platforms?

• To avoid engaging with customers

• To diversify their bank lending

• To reduce their product offerings

• To increase their tax liabilities

How can traditional banks benefit from the new financial models?

• By focusing only on large corporations

• By increasing their fees

• By becoming more innovative

• By reducing their customer base

What is a challenge faced by traditional banks in the SME market?

• Excessive innovation

• Lack of government support

• Inefficient intermediation model

• High competition from large corporations

What is a potential threat to London's role in the fintech industry?

• Lack of skilled workforce

• Strict government regulations

• Emergence of fintech hubs in other cities

• Decline in global fintech interest

What is emphasized about the nature of fintech hubs?

• They are exclusive to London

• They are only in the UK

• They are declining in number

• They exist in multiple cities globally