The P2P Explosion: Business Models May Change, but Risks Still Need to Be Managed

BorrowersFirst, a year-old, 16-employee company based in Austin, Texas, says on its website that it aims to be a disruptive force in the fast-growing business of peer-to-peer lending. More than 100 such platforms now exist in the U.S. alone, vying for a slice of the multitrillion-dollar consumer credit market.

Overseeing risk systems for an innovative P2P loan provider is “exciting” and “ever-changing” – and definitely hard work, says Ben Duran, BorrowersFirst’s chief risk officer.

“The majority of new financial services are all online,” Duran notes. “So this is a risk area that is growing and where there is a lot of opportunity for someone with risk expertise.”

But it is a very different and rapidly changing environment when compared with more traditional financial risk management settings. The job descriptions and requirements are evolving accordingly.

Read full article at garp.org