The Challenger Bank
Challenger banks are newer banks that are armed with the latest technology to democratize access to financial products. They’re also disruptive, pioneering a new space, and might even be seen as attacking their incumbents. But in reality, banking is not a zero-sum game. In the latest episode of The Yield, Peter Kerr, CFA and Daniel Eberhard discuss the next age of banking. Daniel has built his career as an entrepreneur by finding ways to create scalable mission-driven companies. In 2010, he co-founded Kineticor Renewables, a wind energy company that developed 50M dollars in wind projects. The company was acquired by Algonquin Power in 2011. In 2014, Daniel founded KOHO, a leading Canadian challenger bank that has raised more than $130M on the path to democratizing access to financial products.Key Takeaways:[1:40] Challenger banks as technology-enabled leaders that are democratizing access to financial products.[6:33] KOHO aims to eliminate the poor tax that hits the underbanked.[10:49] What makes a challenger bank’s offerings different from those at a traditional bank?[17:25] Overcoming the common pitfalls that lead to low credit scores.[21:20] Are digital currencies a threat to the challenger bank model?[24:30] Lessons learned from this successful entrepreneur.Mentioned in This Episode:Yieldstreet