Peer-to-Peer Lending and Equity Crowdfunding: A Guide to the New Capital Markets for Job Creators, Investors, and Entrepreneurs

by Kim Wales, Garry B. Crowder (Foreword by)

Overview

Written by an industry pioneer who has hands-on experience in the brave new world of peer-to-peer lending and equity crowdfunding, this book serves as a resource for investors and entrepreneurs alike and investigates how these alternative mechanisms will increase the financial and operational capacity of borrowers, lenders, buyers, and sellers in the private markets.

More than 60 governments across the globe have established financial inclusion as a policy priority and are vying for access to and use of financial services by households and firms to boost economic growth. A thought leader on securities-based crowdfunding, author Kim Wales explores how women and the millennial generation, the world's largest groups of people, can influence "crowd" direct investment, economic freedom, and economic growth. The book provides building blocks to instruct investors and entrepreneurs about how to leverage social networks and supplies tools to help retail investors—"the crowd"—to understand the language, risks, and rewards of this type of investment.

Providing an indispensable resource for investors and entrepreneurs, Peer-to-Peer Lending and Equity Crowdfunding summarizes past theory as well as current schools of thought related to capital formation and economic growth, explains why creating a secondary market for private placement offerings is essential to stimulating market liquidity, and documents how public-private partnerships using digital finance will enhance financial inclusion and positively impact investing. The book not only describes how crowdfunding works but also explains investment approaches, secondary markets, governance and compliance, transparency, and risk models that are necessary for investors to make informed decisions.

Product Details

ISBN-13:	9781440855344
Publisher:	Bloomsbury Academic
Publication date:	12/01/2017
Pages:	304
Product dimensions:	6.50(w) x 9.55(h) x 1.10(d)

About the Author

Kim Wales is the founder and chief executive officer of CrowdBureau®, LLC and Wales Capital, LLC.

Table of Contents

Foreword Garry B. Crowder vii

Preface xv

Acknowledgments xxv

Chapter 1 Reregulating and Deregulating the Global Capital Markets 1

Chapter 2 Regulatory Reform across Seven Continents 21

Chapter 3 Securities Crowdfunding and Alpha in Social Data 55

Chapter 4 Peer-to-Peer Lending 75

Chapter 5 Market Structure: Women and Millennial 97

Chapter 6 Behaviors Related to Savings and Investment 117

Chapter 7 Structured Products 147

Chapter 8 Underwriting and Valuations 167

Chapter 9 Primary versus Secondary Markets 187

Chapter 10 Distributed Ledger Technology for a Universal Credit System 199

Conclusion 213

Notes 221

Glossary of Financial Terms 243

Index 257

What People are Saying About This

Laura Bottazzi

“A clever marriage of the fundamentals of crowdfunding, regulation, and policy for capital markets development, this book will be helpful to today’s and tomorrow’s students, practitioners as well as policy makers. Kim Wales’s insightful views rest on her deep hands-on experience as a change agent, lobbyist, and advocate.”

Emily Youssouf

“Kim Wales has written an impressive book based upon her thorough research and understanding of a critical growth market. Anyone who is looking to the future world of funding needs to read this book.”

Heidi L. Steiger

“In a world full of disruptors, peer-to-peer lending and securities-based crowdfunding have become the most revolutionary. Besides the more traditional methods of fundraising, angel investing was perhaps the only other credible source of funding. Kim Wales’s book gives the reader a thorough grounding in peer-to-peer lending and crowdfunding as well as in their possible impact at every level: asset management, individual and institutional investors and regulatory, to name just a few.”

Ludovic Phalippou

“This book provides the reader with the context to understand the significant growth in crowdfunding. Kim Wales also gives insightful views as to what it would take for this market to reach the next level. Her recommendations for standardization of contracts, vocabulary, and credit ratings are particularly spot on.”