Daily Price Movement / General Discussion, page-38185

to say this sort of rubbish about finance companies with zips balance sheet, during one of the most volatile and concerning points in the global economy since 2008/2009, is just mind boggling.

It is you, who has proven to have limited understanding of macroeconomics, global policies, fiscal policies, geopolitical factors, and finance,

last week you were trying to convince people that affirm is more likely to go insolvent during heavy inflationary environment, than zip - simply because it’s bigger lol

you surely aren’t this ignorant to what is happening here?

just a tip, banks love minor inflation, but heavy and out of control inflation, they can suffer more than the next industry.

during strong inflation (and even when it’s out of control), they would (as part of their own hedging), put the squeeze on their micro lenders and authorised reps etc. micro fintechs and weak balance sheet capital providers will get crushed. Banks use this period to strengthen their verticals and run way into the next cyclical phase.

BNPL , and zip especially, is not a bank. It is almost completely reliant on a bank.

which brings me to my last point, where Max over at affirm has arranged those securitisation deals, becoming less reliant on banks and instos for their warehousing, less equity intensive, and more protection into a heavier inflationary environment.

experience goes a long way