A Future of Integration for China and U.S. FinTech
NEW YORK, March 20, 2017 /PRNewswire/ — Guo Lu, vice president of Hanfor Holdings Co (Hanfor), a leading Chinese asset manager and industrial park developer, shared the company’s insight into the FinTech industry, and called for closer cooperation between Chinese and U.S. FinTech businesses at the 2017 LendIt USA conference, one of the world’s biggest FinTech events.
At the event, Guo gave a speech entitled “Irreversible Globalization — Fintech in China and the US Move Rapidly towards Integration,” sharing the company’s vision for an increasingly inter-connected future in the FinTech space.
Guo said that despite huge differences in sector growth models between the two countries — U.S. FinTech companies focus more on driving efficiency in an already established financial system, while China’s aim to reinvent a less-mature financial market — Chinese and American FinTech companies will increasingly converge in various areas, spawning new models, standards and services.
Such a trend, driven by the equalizing power of technology, is already seen in many other areas in China. For example, the credit card, a popular financial payment method in western countries, is being overtaken by other methods in China, such as electronic payments via smartphones, prodding Chinese and U.S. financial services companies to collaborate and integrate in face of fresh challenges and opportunities, Guo said.
A Growing Global Reach
Similarly, the irreversible trend of globalization will also stimulate cooperation between Chinese and U.S. FinTech companies, Guo predicted, adding that for overseas FinTech firms wishing to enter China, it’s crucial to find a local partner with a deep understanding of regulatory policies, good government relations, sound experience in financial market operations, sophistication in risk-management, global vision and effective execution. It is these focuses that have been the hallmarks of Hanfor’s growth strategy.
Guo’s speech drew inspirations from, and also helped enlighten other FinTech elites who shared the LendIt podium. LendingClub CEO Scott Sanborn, the first speaker at the New York conference, inventively drew parallel between FinTech and e-commerce, saying FinTech firms can learn from Amazon’s success in enriching customer experiences, introducing external innovation, and building an operation platform jointly with other companies.
Also at the conference, Ash Gupta, head of big data at American Express, rejected outright the perception that human beings will one day be replaced by Artificial Intelligence (AI), arguing that human talents and their intuition is more important than AI, so the right strategy is to create an environment where humans can advance hand in hand with robots and technology.
In her speech, Guo gave a brief introduction to Hanfor’s businesses. Hanfor owns a wide range of businesses including capital management, wealth management, credit rating and FinTech, and the company has established strategic partnerships with over 500 well-known institutions around the world.
Disrupting Traditional Financial Markets
In capital management business, Hanfor has participated in building several industrial parks and other major projects through the Public-Private Partnership (PPP) model, and has made equity investment in a series of high-quality start-up projects around the world. With experience of providing wealth management services to China’s rapidly-growing middle-class and high-net-worth (HNW) population, Hanfor also stepped into the credit rating business. Shanghai Fareast Rating, a unit of Hanfor, is the first non-government-owned rating agency in China.
Hanfor’s FinTech business is young, but is growing rapidly. Its FinTech division, Nuoyuan Technology, was launched just a year ago, but is already one of China’s top 30 FinTech firms, having won respect from its peers with its solid risk control.
“With an ambition to disrupt the traditional financial market, and provide financial services for the entire population equally and conveniently,” Yingzhu Shen, the Executive Deputy General Manager of Nuoyuan Technology said, “Hanfor looks forward to joining hands with FinTech companies in the U.S. and around the world, so as to better seize the immense opportunities emerging from China’s rapidly evolving FinTech industry as the country further deregulates its financial market.”
About Nuoyuan Technology Development Co., Ltd. Nuoyuan Technology Development Co., Ltd. (Nuoyuan Technology), since founded in 2015, has been working on exploring new financial models benefiting every single social community by virtue of its technological advantages in internet and big data as well as expertise in finance, and commits to making great contributions to equalization of financial services in China and around the world.
About Hanfor Holdings Hanfor Holdings, the parent company of Nuoyuan Technology, is a prestige asset management company in China and member company of World Economic Forum in Davos. The company’s current business activities involve equity investment, fund management, domestic and overseas M&A, market value management, development financing, PPP project construction, asset management, wealth management, financial technology, real estate fund, family trust, and more. For further information, visit here.