Welcome to The FR’s final edition in 2017. We’re closing out the year with our roundup of some of the great predictions we came across. We wish you a happy new year and a financially and spiritually prosperous 2018. Under our New Year’s Eve umbrella this week:
- The FR’s Gregg Schoenberg; LinkedIn’s Chip Cutter & Laura Lorenzetti Soper
- PwC’s Henri Arslanian; FICO’s TJ Horan
- Bloomberg’s Julie Verhage, Selina Wang & Jennifer Surane
- Social Leverage’s Howard Lindzon; ITL’s Roger Peverelli & Reggy De Feniks
Nine Things in the Offing for 2028.
“Thanks to broader business and economic trends that were accelerated by 2017’s Tax Cuts and Jobs Act, the “Gig Economy” is replaced by the “LLC Economy,” in which an increasing number of freelancers and corporate executives recognize their income through pass-through entities. As a result, HR and benefits management companies as well as law firms experience a windfall as they assist corporate clients in structuring “velvet layoffs” of their people who can still do most of the things they did as employees.”
The 50 big ideas for 2018.
“As companies such as Uber and Airbnb move closer to long-awaited IPOs, they’ll be pressured to ratchet up profits. For drivers, hosts, grocery deliverers and others who depend on these platforms, that will likely mean lower pay, says former Google HR chief Laszlo Bock, now CEO of startup Humu. “The gig economy is going to get increasingly brutal,” he says. “These companies are going to need to make a profit, and that’s got to have to come from somewhere.’”
10 FinTech Predictions for 2018.
“Expect some of the leading regulators to continue to act as pioneers in this space (Supervisory Technology). For example, the Monetary Authority of Singapore is looking to use machine-readable templates for regulatory reporting, as well as completely revamping its data-collection exercises – even allowing financial institutions to turn down the regulator’s request if it asks for the same data twice.”
FICO Predicts 2018: Fraud and Payments.
“If we do have to use a mag stripe card at a retailer that doesn’t accept mobile payments or chip cards, an alarm will go off in our heads as we recognize the potential security exposure. Retailers that don’t offer modern, secure payment choices will lose sales. “Panic at the Checkout” will have evolved into “Caution at the Checkout.”
Will 2018 Be the Year of the Bank of Amazon?
“For investors in online lending, 2017 was the year of the shakeout. The companies that didn’t pay enough attention to underwriting were burned by losses, while longtime leaders like LendingClub Corp. and CAN Capital Inc. struggled with operational troubles and securing sufficient capital. Next year might not be any easier, according to experts. Banks have finally gotten their act together, and that means online lenders will increasingly have to compete against these large financial institutions.”
A 2018 Prediction – More Fintech.
“The mental athlete is cool. Compounding and network effects are cool. Investing is cool. Learning the language of the markets is cool. It is almost impossible that a panic does NOT occur in 2018 and by panic I mean an all out acquisition spree.”
Top 10 Insurtech Trends for 2018.
“Insurtechs strike the right chord among millennials that are dangerously under-insured. And insurtech innovation is helping to offset the damage caused by natural disasters such as hurricanes and floods.”