Sharing Economy Expert April Rinne offers Great Takeaways for 
Finance, Insurance and Private Equity Groups


 

There are two strong angles for Finance, Insurance and Private Equity Groups to consider: (1) investment opportunities in the sharing economy and (2) disruption of the financial services sector itself.

4 tough questions that should be top of mind for people working in finance, insurance and investment:

  1. What and where are the most interesting investment opportunities in the sharing economy?
  2. What does the sharing economy mean for new financial product and service development?

    3.  What are the key legal, regulatory and policy issues for decentralized financial services and platforms?  

    4. What do these new financial services and platforms mean for international capital markets, including emerging and developing economies?

Additional Context:

  • Investment in the sharing economy is significant and growing exponentially, from $3.5B (in venture funding) in 2013 to more than $10B in 2014. 

  • For many people, the sharing economy includes new peer-to-peer (P2P), decentralized and community-driven financing mechanisms such as: : 

    • P2P lending (e.g. Lending Club, Zopa, Kiva)
    • Civic Crowdfunding (e.g. Citizinvestor, Neighbor.ly, loby)
    • Crowdfunding (e.g. Kickstarter, Indiegogo)
    • Equity crowdfunding (e.g. AngelList, Crowdcube)
  • The growth of the sharing economy has led to new opportunities for enabling products and services, many of which focus on finance and risk management, such as

    • Insurance: property (shared homes and workspaces), liability (we know how to insure a car that you own, but how do we insure a shared car? what happens if a TaskRabbit is injured while running errands for you?),
      product warranties and more.
    • Payments: services catering to P2P transactions and platforms
    • Financial services catering to freelancers (banking, savings, accounting, investing, retirement)
April currently leads the World Economic Forum's Young Global Leaders Sharing Economy Working Group and serves on the urbanization advisory group. Read her latest WEF Blog Posts >>