peer to peer money for nothing? · • annual limit of $10,000 (ontario only) • information •...

Peer to Peer Lending Gamechangers?

Marc-Andre Pigeon Director, Financial Sector Policy

Canadian Credit Union Association

BUSINESS MODELS

Loan request Loan

Provided minus fee

Financial Institution

Loan initially provided by a separate financial

institution Fundee

Crowdfunding Platform

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IN CANADA?

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CANADA : CONSUMER LENDING

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CANADA : SME LENDING

REALITY?

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For example…

CSA POLICY 45-108

• Investor Limits • $2,500 per investment • Annual limit of $10,000 (Ontario only)

• Information

• Annual financial statements • Use of proceeds information annually • No advertising, only direct to portal via social

media / paper notices

• Portal as Gatekeeper • Review disclsoure in offering document and

other docs for completeness, accuracy and misleading statements

• If portal operates bulleting board, monitor postings and remove issuer statements inconsistent with offering document

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Strategic Options

Low Engagement

High Engagement

Ignore Crowdfunding Become Institutional Investors Partner with Existing Platforms

Develop New Platform

What ideas or information from your session made you sit up?

What can we act on right away?

What needs to happen next?