A Look at the First Week of Nasdaq’s Fintech Index

While many of you were busy catching Pikachu last week, you may have missed that Nasdaq, in collaboration with KBW, launched an index to track financial technology. Officially named KBW Nasdaq Financial Technology Index (KFTX), the fund tracks 49 fintech companies, including 17 Finovate and FinDEVr alums.

On Monday, 18 July, the index opened at 1,000 points and closed at almost 1,014 points on Friday, 22 July.

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Finovate and FinDEVr alums listed in the index include:

According to Nasdaq’s press release, the companies in the index “represent roughly one-fifth (18%) of the investable domestic financial universe and nearly 4% of the investable domestic equity universe to account for approximately $785 billion in total market cap.”

It’s worth noting that the index, which will be rebalanced quarterly, does not consider activity from private companies, startups, or banks. Large, public companies may not be as sprightly as two guys in a garage, but they create their fair share of cutting-edge products and services. When creating the index, KBW and Nasdaq adhered to three guidelines:

  1. The companies mainly sell financial services
  2. Not primarily brick-and-mortar operated
  3. Income is generated from fees, rather than interest

Other companies in the index include (each company in the index is weighted equally):

Alliance Data Systems Corp. (ADS); Bankrate Inc. (RATE); Black Knight Financial Services Inc. (BKFS); BofI Holding Inc. (BOFI); Broadridge Financial Solutions Inc. (BR); Cardtronics Inc. (CATM); CBOE Holdings Inc. (CBOE); CME Group Inc. (CME); CoreLogic Inc. (CLGX); Dun & Bradstreet Corp. (DNB); Euronet Worldwide Inc. (EEFT); EverBank Financial Corp. (EVER); EVERTEC Inc. (EVTC); FactSet Research Systems Inc. (FDS); First Data Corp. (FDC); FleetCor Technologies Inc. (FLT); Global Payments Inc. (GPN); Intercontinental Exchange Inc. (ICE); MarketAxess Holdings Inc. (MKTX); Moody’s Corp. (MCO); MSCI Inc. (MSCI); Nasdaq Inc. (NDAQ); S&P Global Inc. (SPGI); SEI Investments Co. (SEIC); Square Inc. (SQ); SS&C Technologies Holdings Inc. (SSNC); Total System Services (TSS); The Western Union Co. (WU); VeriFone Systems Inc. (PAY); Verisk Analytics Inc. (VRSK); Virtu Financial Inc. (VIRT); and WEX Inc. (WEX).

California Bankers Association Selects Vantiv as EFT Processing Partner

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Ohio-based Vantiv announced this week it will serve as the payment processing partner of the California Bankers Association (CBA).

More than 100 banks in the state belong to CBA, which is considered one of the largest state banking trade associations and is a long-standing partner of Finovate. CBA member banks have access to Vantiv’s payment processing solutions for credit and debit card payments, as well as ATMs. The banks can also take advantage of Vantiv’s MobiMoney mobile app that promotes safe spending habits among cardholders by allowing them to turn cards on and off, sending them alerts, and enabling them to set parameters around geographic location, merchant type, and transaction amount.

Julianna Graham, SVP of strategic partners at the CBA said that CBA selected Vantiv because of the “scale and scope” of its services, as well as its “proven track record of innovation.”

At FinovateFall 2014 Vantiv launched TriPOS, a payment integration platform solution that is compatible with multiple hardware devices and connects to all authorization providers. In May, Vantiv won the awards for Best Processor, Judge’s Choice, and Consumer Choice in the 2016 CNP Awards. Vantiv, which went public in 2012, will announce its second quarter 2016 financial results on July 28.

Finovate Alumni News

On Finovate.com

  • Sberbank Earns Multiple Honors in Global Finance Awards.
  • California Bankers Association Selects Vantiv as EFT Processing Partner.

On FinDEVr.com

  • Prevoty Wins 2016 Stratus Award for Best Small Company Cloud Security Service.

Around the web

  • ITProPortal interviews Temenos Chief Strategy and Marketing Officer, Ben Robinson.
  • Fiserv launches Grapevine6 to help deliver content over its wealth management network.
  • Quantopian adds new Head of Trading, Dragan Skoko.
  • VISA and PayPal enter strategic partnership to improve payment experience for consumers.
  • Mobile Payments Today quotes Prairie Cloudware co-founder and CMO Michael Carter on banks and mobile wallets.
  • Wealthfront unveils updated iPhone app.
  • ProfitStars earns 2016 Top Workplace commendation from The Tennessean.
  • Espresso Capital features Outside IQ’s creativity in raising capital.
  • Yoyo Wallet expands to Singapore.
  • ThetaRay opens office in Singapore.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Roostify Announces Integration with PCLender to Streamline Loan Origination Process.
  • New Version of the Pendo Data Platform from Pendo Systems Brings Machine Learning, AI to Spreadsheet Data.
  • Fiserv Makes In-Branch Customer Identification as Easy as a High Five.
  • Radius Selects Chief Product Officer.
  • Tuition.io Has Saved Users More Than 5,000 Years of Student Loan Payments.

On FinDEVr.com

  • Mambu Unveils FinTech Startup Program.

Around the web

  • Indopay to leverage Up eCommerce Payments platform from ACI Worldwide.
  • Thomson Reuters named 2016 European Tax Technology Firm of the Year by International Tax Review.
  • Revel Systems partners with Vantiv Integrated Payments to launch the “Rev Up Your Dream” social media contest.
  • FICO acquires cybersecurity firm QuadMetrics, announces plans for “enterprise security scores.”
  • Betterment named Fastest-Growing Firm in the 2016 Financial Times List of 300 Top Registered Investment Advisers.
  • Independent Research Firm Designates GMC Software a Leader in Customer Communications Management.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • “Finovate Alums Help Represent Fintech Innovation in Israel”

On FinDEVr.com

  • “Mobeam Barcode Beaming Technology Gains Broader Integration with Samsung Pay”
  • “Up from Down Under: VIX Verify Chooses Atlanta’s Transaction Alley for Americas Headquarters”

Around the web

  • The American Genius interviews Gene Austin, Bazaarvoice CEO.
  • Ripple and Temenos partner to power direct, real-time, bank-to-bank settlements for Deloitte.
  • Ignite Sales wins Gold Stevie award for sales and marketing intelligence excellence for a second year in a row.
  • Vantiv and Payment Logistics team up to provide EMV payment solutions for Action Systems.
  • Strongsuit interviews Stuart Frankel, Narrative Science CEO and co-founder.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • Credit Karma Unveils New Mobile App Design”
  • “United Capital Acquires FlexScore

Around the web

  • Striata launches Secure Document Repository solution in the U.S. marketplace.
  • Credit Karma launches redesigned iOS and Android apps.
  • Vantiv Integrated Payments announces the second phase of its Security Pays initiative.
  • KPMG recognizes ebankIT as one of its top 10 “Emerging Stars” in the global market.
  • CoinDesk looks at Dwolla and its new focus on the blockchain.

This post will be updated throughout the day as news and developments emerge. You can also follow alumni news headlines on the Finovate Twitter account.

Finovate Alumni News

On Finovate.com

  • “2015: A Year in Finovate Alumni Mergers and Acquisitions”

Around the web

  • TechTarget interviews Vantiv CSO Kim Jones on “creating a culture of security.”
  • Moneystream announces plans to close its doors in February 2016.
  • Nostrum Group earns a spot in Deloitte 2015 Technology Fast 500 for the EMEA region.
  • Zopa CEO Jaidev Janardana explains why 2016 will be the year P2P lending hits the mainstream.
  • Holvi is featured in this look at the top 10 startups in Finland.
  • TopFunded interviews BankersLab CEO Michelle Katics. See BankersLab at FinovateEurope 2016 in London in February 2016.
  • Credit Karma wins a spot on Fast Company’s 2015 Silicon Valley “Nice” list.
  • Emerging Prairie looks at how a local RIA is integrating Motif Investing into his business.
  • SwipeStox launches new features. Check out SwipeStox at FinovateEurope 2016.
  • Personal Capital Debuts First eBook: A Better Financial Life.
  • Backbase awarded accolades in Gartner report, Critical Capabilities for Horizontal Portals. Backbase will demo at FinovateEurope 2016.

This post will be updated throughout the day as news and developments emerge. You can also follow alumni news headlines on the Finovate Twitter account.

 

 

Finovate Alumni News

On Finovate.com

  • “Finicity Acquires Aurora Financial Systems”

Around the web

  • Temenos and Accenture team up to help Nordea replace its core banking system.
  • Vantiv named as merchant services solution provider for Rabobank.
  • Let’s Talk Payments interviews Currency Cloud CEO Mike Laven. Join Currency Cloud in October for FinDEVr 2015 San Francisco.
  • Cachet Financial Solutions unveils its Select Mobile Money turnkey payroll program for corporate clients.
  • Checkout.com adds SafetyPay to its list of payment options for merchants in the Latin American market.
  • BankNXT encourages banks to follow the lead of Fidor Bank when it comes to “community and openness.” Join Fidor Bank in San Francisco for FinDEVr 2015.
  • Human Resource Executive Online highlights DoubleNet Pay in a look at financial wellness programs in the workplace.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Vantiv Brings its Payment and Processing Solutions to the USPS

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The United States Postal Service has picked Vantiv to provide it with an array of payment solutions and processing services. The partnership will include risk and data security solutions, encryption and tokenization technology, and more.

The financial terms of the partnership were not immediately available. Vantiv says that its technology will be used at more than 33,000 USPS locations in the United States, Asia, and Latin America.

Talking about the agreement, group president of merchant and financial institution services at Vantiv, Royal Cole said that his company’s “highly flexible, scalable, and easily integrated solutions” were ideal for the kind of sizable retail customer base served every day by the USPS. “This contract with the Postal Service is another example of how the strength of Vantiv’s omnichannel commerce-solutions, innovative capabilities, and service leadership is helping us win new clients,” said Cole.

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(Left to right): Coy Christensen, VP product development, and Jesse Kunicki, development manager, for Vantiv, demonstrated TriPOS at FinovateFall 2014 in New York.

Founded in 1971 and headquartered in Cincinnati, Ohio, Vantiv made its Finovate debut last year at FinovateFall 2014 where it presented its TriPOS payment-integration platform. The third-largest merchant-transaction acquirer in the United States, and the number-one PIN debit acquirer, Vantiv processes 17 billion payment transactions and more than $600 billion in volume each year. Vantiv became a public company in March 2012 (market cap $6 billion), and trades under the NYSE symbol, VNTV.

In recent years, Vantiv has launched a variety of omnichannel, e-commerce solutions such as Vantiv Mobile Checkout and Vantiv Mobile Accept in partnership with AT&T and Sprint. The company has been an active acquirer, scooping up Element Payment Services in 2013 for $163 million and Mercury Payment Systems in 2014 for $1.65 billion.

Finovate Alumni News

On Finovate.com

  • SizeUp, Token, and Pendo Systems Win at Innotribe 2015 New York
  • Vantiv Brings its Payment and Processing Solutions to the USPS
  • Finovate Talks Payment API Security with John Canfield, VP of Risk for WePay

Around the web

  • American Banker talks with LendingRobot about liquidity in P2P lending.
  • Wallaby now has 2,700 credit cards and 500 banks in Cardbase database. Come see Wallaby at FinDEVr in San Francisco.
  • SuiteRetail joins Avalara’s community of certified solution partners. Check out Avalara at FinDEVr 2015, 6/7 October.
  • Tradier Brokerage integrates with OneOption LLC to advance options trading platform.
  • GeekWire considers Avalara’s success, including its corporate lounge, at the U.S. Open.
  • PYMNTS interviews Souheil Badran, newly appointed president and CEO of edo Interactive.
  • Nuno Sebastião, CEO of Feedzai, talks with PYMNTS about fraud detection.
  • Pindrop Security launches Pindrop Labs.
  • Financial Times lists Personal Capital in its Top 300 RIA List.
  • iBe publishes study on customer experience in banking and fostering innovation.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.