FinDEVr APIntelligence

FinDEVr Silicon ValleyFDNY17_EventLogo_v1(wdate) was a success! Tickets for upcoming FinDEVr London and FinDEVr New York are at their lowest prices now. Register today for London or New York to save your spot!

On FinDEVr.com

The latest from FinDEVr Silicon Valley presenters

  • BBVA chooses Amazon Web Services as its preferred cloud infrastructure services provider.
  • Extended partnership makes Yodlee’s data aggregation available via Backbase’s Open Banking Marketplace.
  • Hyperwallet announces support for real-time, push-to-card payments-solution,Visa Direct.
  • Full Envestnet | Yodlee Integration Give Advisers Big Picture View of Client Finances.
  • Modo to give the Bank of America access to its COIN Operated Digital Payments Hub.
  • Expensify launches direct integration with Zenefits.

Alumni updates

  • InComm launches new brand of solutions for cash-based consumers, VanillaDirect.
  • Temenos launches Digital Engagement modules to offer real-time customer marketing and engagement.
  • Bluefin Payment Systems launches cloud-based hosting option for its DecryptxPCI-validated P2PE product through Amazon Web Services.
  • Intuit expands partnership with PayPal to provide QuickBooks Online customers with a new way of accepting payments via PayPal.
  • Chain launches open-source edition of its distributed ledger, Chain Core Developer Edition.
  • Avoka earns a pair of “XCelent Awards” for service and breadth of functionality from Celent.
  • Trulioo announced that its GlobalGateway platform now reaches 60 countries.
  • On Deck Capital and Kabbage agree to disclose SMB loan pricing.

Stay current on daily news from the fintech developer community! Follow FinDEVr on Twitter.

Finovate Alumni News

On Finovate.com

  • Lendio Closes $20 Million Funding Round
  • Lending Club Launches Car Loan Refinancing Product
  • Check out today’s sneak peeks of upcoming FinovateAsia demos:

Around the web

  • AdviceRobo reaches 900k credit scores
  • Bill.com partners with Intuit to power end-to-end accounts payable within QuickBooks Online
  • Actiance appoints Cynthia Crossland as CMO
  • Entrepreneur Magazine names Cardlytics One of the Best Entrepreneurial Companies in America
  • American Banker: Bizfi Hires Former Lending Club Exec as New CEO
  • Intuit expands partnership with PayPal to provide QuickBooks’ Online customers with a new way of accepting payments via PayPal
  • Farm Credit Services of America picks DNA from Fiserv to support agricultural lending
  • Extended partnership makes Yodlee’s data aggregation available via Backbase’s Open Banking Marketplace
  • Chain launches open source edition of its distributed ledger, Chain Core Developer Edition
  • Avoka earns a pair of “XCelent Awards” for service and breadth of functionality from Celent
  • Trulioo announced that its GlobalGateway platform now reaches 60 countries
  • Hyperwallet announces support for real-time, push-to-card payments solution, Visa Direct

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.

Full Envestnet | Yodlee Integration Gives Advisors Big-picture View of Client Finances

envestnetyodlee_homepage_october2016

Less than 18 months after acquiring Yodlee, Envestnet has fully integrated the data aggregator’s technology into its platform. This means that financial advisers using Envestnet will now have a complete 360-degree view of their customers’ overall financial health.

John Bird, VP of product marketing for Envestnet | Yodlee, pointed out that it can be difficult for advisers to get the traditional and non-traditional financial data they need in order to provide the best possible service to their clients. “With the new integration of the Envestnet | Yodlee platform and the Envestnet platform,” he said, “we have leapfrogged the marketplace and are giving the advising community the most complete picture of their customers’ financial situation in a way that no other offering can.”

The integrated platform, including FastLink, also provides advisers with Envestnet’s reconciliation process. This feature is incorporated into Yodlee’s aggregation workflow to ensure that clients and their advisers are working with the most accurate, up-to-date data. Additionally, advisers will be able to access Envestnet’s alerting framework, as well as build their own applications using the platform’s open API.

Founded in 1999 and headquartered in Redwood City, California, Yodlee was acquired by Envestnet in the summer of 2015 for $660 million. A veteran of both FinDEVr and Finovate conferences—and a Best of Show winner from FinovateAsia 2013)—the company participated in our developers conference, FinDEVr Silicon Valley 2016, earlier this month, with a presentation titled “Fast Track API Integration with Envestnet | Yodlee.”

Finovate Alumni News

On Finovate.com

  • Jumio Adds Biometric Facial Recognition to Netverify
  • Full Envestnet | Yodlee Integration Gives Advisers Big-picture View of Client Finances

Around the web

  • Modo to give the Bank of America access to its COIN Operated Digital Payments Hub.
  • Lending Club partners with MileagePlus to offer borrowers and investors a way to earn award miles when they borrow or invest.
  • On Deck Capital, Kabbage, and CAN Capital agree to disclose SMB loan pricing
  • Expensify launches direct integration with Zenefits.
  • Actiance now aids in compliance for Workplace by Facebook
  • Check out the results of the 20-month pilot Filene conducted with Larky.
  • ProfitStars adds Financial Performance Suite Customer Profitability and Pricing module to the Independent Community Bankers of America.

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.

Envestnet | Yodlee’s Terry McKeown on Thin Files, Fintech, and the Foundation of Credit

EnvestnetYodlee_homepage3_Aug2016

What are reliable credit assessments made of? These days the answer could be anything from FICO scores to feedback from social media activity on LinkedIn or Facebook. And while Terry McKeown, practice manager of credit analytics at Envestnet | Yodlee, finds some of the newer approaches to risk and credit assessment novel—and in some instances worth pursuing—his expert opinion is to to keep all eyes on the prize: the borrower’s ability to repay the amount borrowed and a track record of making those payments consistently.

Yodlee_TerryMcKeown“I’m a big fan of the foundations of credit,” McKeown said in a telephone conversation last week, harkening back to the days when lending discussions took place over a desk in an office rather than over the internet. Besides traditional credit-bureau data, he sees interesting potential in alternative and nontraditional data such as checking-account transactions and utility-bill payments when it comes to risk assessment, especially for those with short or even nonexistent credit histories. Populations with slim to invisible histories include millennials, immigrants, the elderly, the unbanked and underbanked. McKeown also sees value in examining traditional data in nontraditional ways, such as using checking account or mobile wallet payment data as a guide to a borrower’s consistency when it comes to paying bills. “This data can show both income stability as well as income verification by way of direct deposit,” he explained.

Other data alternatives he finds interesting include using LinkedIn to verify employment history and patterns, reviewing milestones in a Facebook profile for potential life changes, or perusing the Yelp reviews of a small business person seeking a loan. That said, McKeown sees many of these alternative metrics as still works-in-progress, saying that while they are “incredibly insightful,” many of these approaches are still very much “in early stages from an analytic standpoint.”

The interest in alternative credit and risk assessment becomes more important as the availability of new forms of data (including new technologies to access that data) converges with financial institutions determined to “catch up” with their increasingly mobile, increasingly young, potential customer base. “It’s been very much an education,” McKeown said, pointing out that millennials have different needs compared to, for example, those of gen-Xers when they were the same age.  The upshot: Traditional credit-bureau data becomes less relevant owing to data viewed at a summarized level and not being updated daily as is the transaction-level data that Envestnet | Yodlee provides.

So what’s the solution? McKeown points to two key dynamics: creative engagement and higher expectations. For McKeown, millennials—and to an extent other underbanked communities—”want a partner in their finances that thinks and behaves like them.” This means everything from meeting the customer on their channel (or channels) of choice to greater flexibility and understanding when it comes to matching customers with products. This also means that FIs need to be ready to do more to meet the changing expectations of their potentially less patient, more technologically savvy clientele. “Millennials expect to have real-time pricing information based on real-time data available at the click of a mouse or via their mobile device,” McKeown said. “They expect an intuitive, simplified application process, whether it is delivered in person or over the Internet, or through a phone app.”

That said, the key to attracting and better engaging with millennials is less a technological challenge and more a cultural one, as McKeown sees it. “Problems with accurately credit-scoring people in their 20s and early 30s [are] nothing new,” he says. What is new is a generation that is simultaneously more free and more connected than its predecessors, giving financial services professionals both new challenges and new opportunities when it comes to engaging both “America’s largest generation” and the underbanked alike.


About Envestnet | Yodlee

Envestnet acquired multiple Best of Show winner Yodlee for $680 million almost one year ago. The company announced a strategic partnership with United Capital earlier this month, in which the company’s data-aggregation technology will support United Capital’s FlexScore solution. FlexScore, a Finovate alum, was acquired by United Capital in February. More than 1,000 firms, including more than half of the 20 biggest banks use Envestnet | Yodlee’s platform to drive apps for millions of customers around the world.

Envestnet | Yodlee Forges Strategic Partnership with United Capital

EnvestnetYodlee_homepage_Aug2016

Envestnet | Yodlee’s data-aggregation technology will power United Capital’s FlexScore solution. And yes, that’s the same Finovate alum—FlexScore—that was acquired by United Capital earlier this year.

“By delivering innovative financial planning solutions and new data-driven insights, our partnership will empower FlexScore users to take control of their financial destiny,” Envestnet | Yodlee VP Julie Solomon said. As United Capital’s primary account data-aggregation partner, Envestnet | Yodlee will securely link users’ financial accounts and seamlessly onboard customers while aggregating the necessary data to generate each user’s individual financial health rating or FlexScore.

The FlexScores eventually will be offered as part of FinLifePartners, United Capital’s white-label advisory platform for independent advisers.

“Our business has helped transform the traditional wealth-management industry,” United Capital Head of Platform Mike Capelle said. “For us to continue innovating and benefiting customers, we needed a proven data-aggregation partner that could provide the tools our customers need to take control of their financial lives.”

United Capital is one of the fasted growing RIAs in the country. The firm has $16 billion in assets under management and more than 80 offices in the U.S. When the acquisition was announced in February, United Capital’s CEO called FlexScore “the missing piece” and anticipated that the technology would be used “to help promote customer engagement with retirement plans.”

In acquiring Yodlee just over a year ago for $680 million, Bill Crager, Envestnet president, said he hoped the addition would make it easier for Envestnet to ink deals with independent and smaller financial advisers unaffiliated with the larger firms such as Merrill Lynch and Morgan Stanley. The company’s new strategic partnership with United Capital is a big step in this direction.

Headquartered in Redwood City, California, and with offices in London and Bangalore, India, Envestnet | Yodlee provides data aggregation and analytics to more than 1,000 companies, including 11 of the top 20 U.S. banks. The company trades on the NYSE under the ticker symbol “ENV” and has a market capitalization of $1.6 billion. Yodlee, which went public a year before being acquired by Envestnet, demonstrated its latest technology at FinovateSpring 2016.

Finovate Alumni News

On Finovate.com

  • Envestnet | Yodlee Forges Strategic Partnership with United Capital
  • Finovate Debuts: Cyberfend’s BotFender Detects Attacks in Real-Time

Around the web

  • TransferWise partners with Raphaels Bank as part of Faster Payments Service integration.
  • Token opens new London office.
  • Trulioo earns top honors for ID verification in 2016 Global RegTech report.
  • Check Point Introduces First Real-Time Zero-Day Protection for Web Browsers
  • P2Binvestor Delivers Biggest Line of Credit Yet at $10 Million
  • CR2 teams up with Diamond Bank to bring next-generation ATM technology to Nigeria.

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.

FinDEVr APIntelligence

FinDEVrSV16-LogoV2(wdate)Our FinDEVr New York developer showcase was a success! FinDEVr Silicon Valley will be held October 18 & 19 in Santa Clara. Register today and save.

On FinDEVr.com

  • Markit Agrees to Acquire Prism Valuation.
  • Goldman Sachs Leads $44 Million Investment in Plaid.
  • Mambu Unveils FinTech Startup Program.

The latest from FinDEVr New York 2016 presenters

  • Personal Capital Brings on Former Yodlee CFO.
  • FICO acquires cybersecurity firm QuadMetrics, announces plans for “enterprise security scores.”

Alumni updates

  • Let’s Talk Payments asks if fintech startups should be able to access bank data in the wake of Plaid’s $44 million Series B.
  • MX Adds Cash Flow Feature to MoneyDesktop Platform.
  • Trulioo expands to South America as part of Canada’s Fintech Mission to Brazil.
  • Thomson Reuters named 2016 European Tax Technology Firm of the Year by International Tax Review.

Stay current on daily news from the fintech developer community! Follow FinDEVr on Twitter.

Finovate Alumni News

On Finovate.com

  • Stock Gifting Platform Stockpile Acquires SparkGift.
  • Corezoid Goes AWS with its Platform-as-a-Service Core Banking Technology.
  • Cachet Financial Solutions to Power Mobile Deposit for Malauzai Software.
  • Personal Capital Brings on Former Yodlee CFO.

Around the web

  • Gartner names Cognitive Technology a 2016 Cool Vendor in Analytics for myInvenio.
  • Times Realty news looks at why Patch of Land is choosing not to adopt Title III Crowdfunding rules.
  • defi Solutions announces new Chief Technology Officer.

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.

FinDEVr APIntelligence

FinDEVrSV16-LogoV2(wdate)

Our FinDEVr New York developer showcase was a success! FinDEVr Silicon Valley will be held October 18 & 19 in Santa Clara. Register today and save.

On FinDEVr.com

  • “OakNorth, “The First Cloud-Based Bank in the U.K.” is Powered by Mambu”
  • “Mobeam Barcode Beaming Technology Gains Broader Integration with Samsung Pay”
  • “Up from Down Under: VIX Verify Chooses Atlanta’s Transaction Alley for Americas Headquarters”
  • “Speed of Lightning, Roar of Thunder: Blockchain Unveils Off-Chain Bitcoin Payments Network”

The latest from FinDEVr New York 2016 presenters

  • Version 6.0 of PayPal app discontinues support for Amazon Fire, Windows, and Blackberry phones.

Alumni updates

  • “Twilio Readies for $100 Million IPO”
  • Let’s Talk Payments takes a look at the post-acquisition relationship between Envestnet and Yodlee.
  • Neyber selects Cloud Lending Solutions for loan automation.

Stay current on daily news from the fintech developer community! Follow FinDEVr on Twitter.

Finovate Alumni News

On Finovate.com

  • “Actiance Brings on Naresh Bansal as New CFO”
  • “Twilio Readies for $100 Million IPO”
  • “PayNearMe Acquires Prism Money to Offer Bill Presentment for Enterprise Clients”
  • “Featurespace Falls on a Fresh $9 Million in Funding”

On FinDEVr

  • “OakNorth, ‘The First Cloud-Based Bank in the U.K.’ is Powered by Mambu”

Around the web

  • Dataconomy interviews Georg Ludviksson, Meniga CEO and co-founder.
  • The WSJ: “Lending Club Talking With Citigroup About Loan Purchases”
  • Cachet Financial Solutions to power Mobile Deposit for LCNB National Bank.
  • American Banker highlights Suresh Ramamurthi, chairman and CTO of CBW Bank.
  • eToro appoints Joe Hall as its new managing director of business in the U.K.
  • Let’s Talk Payments takes a look at the post-acquisition relationship between Envestnet and Yodlee.
  • Ethoca teams up with the Online Payment Exchange (ONPEX) to stop ecommerce fraud using early warning alerts.

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.

Where Are They Now? FinovateSpring Alums Raise More than $326 Million in a Year

FS2015_overheadview

Last week we took a look at what the alums of FinovateSpring 2015 have been up to in the year since they demoed on the Finovate stage. Today, we’re focusing on the funding.

All $326 million of it.

Of the 72 companies that demoed at FinovateSpring 2015 in San Jose last year, 21 of them had raised capital within a year. Kabbage’s raise of $135 million certainly stands out. But the $25 million investment picked up by itBit in May of last year, as well as the $15 million raised by Trulioo and the $12 million raised by Moven were also major contributors to a strong fundraising performance from the Class of FinovateSpring 2015. And this doesn’t even include companies such as Yodlee, which was acquired by Envestnet for $660 million, or Aurora Financial Systems, bought by fellow Finovate alum, Finicity, for an undisclosed sum.

March 2016

January 2016

Dec 2015

October 2015

September 2015

August 2015

  • [M&A] Holy Yodlee! Envestnet to Buy Yodlee for $660 Million – video

July 2015

June 2015

May 2015

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FinovateSpring 2016 is less than a month away. Pick up your tickets today and save your spot at our upcoming spring conference in San Jose, California.