What I learned in fintech and insurtech in 2019

https://wagestream.co.uk/
  • Employers are taking more responsibility for the financial wellness of their employees. The feature that grabbed the most attention in 2019 was income streaming: the option to get paid while you earn rather than waiting for payday. This sector took off in the US in 2019 (Earnin, Payactiv etc), UK is picking up (Wagestream*, Salary Finance), continental Europe still very early. However the scope here is much broader: financial coaching, budgeting, saving, investing, pensions, life insurance.
  • Gen Z are actively using apps to help them get control of their finances such as Cleo* and Yolt. These are enabled by open banking and aggregators such as Plaid, but what really matters is how they relate with their users: conversation, personality and intelligence. Features such as auto-save and overdraft protection are just that — features.
  • Regulators have killed off most of the last generation of payday lenders but the underlying sub-prime and near-prime need for credit hasn’t gone away. Credit card debt in UK and US remains very high, way higher than debt from any other source of short term lending such as Amigo Loans or Klarna.

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Partner at Balderton Capital in London, working with Zego, Wagestream, Cleo, Carwow, Mojiworks, Primer, PlayPlay, Dream. Formerly Google & Bain.

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Rob Moffat

Rob Moffat

Partner at Balderton Capital in London, working with Zego, Wagestream, Cleo, Carwow, Mojiworks, Primer, PlayPlay, Dream. Formerly Google & Bain.