SSRN：金融科技与主权财富基金

How Disruptive is Financial Technology? Douglas Cumming†, Hisham Farag‡, Santosh Koirala§ and Danny McGowan* Abstract We study whether Fintech disrupts the banking sector by intensifying competition for scarce deposits funds and raising deposit rates. Using difference-in-difference estimation around the exogenous removal of marketplace platform investing restrictions by US states, we show the cost of deposits increase by approximately 13% within small financial institutions. However, these price changes are effective in preventing a drain of liquidity. Size and geographical diversification through branch networks can mitigate the effects of Fintech competition by sourcing deposits from less competitive markets. The findings highlight the unintended consequences of the growing Fintech sector on banks. 19 August 2024 JEL Codes: D26, G21, G23 Keywords: fintech, banking, deposits We are grateful for helpful comments and suggestions received from Alin Andries, Piotr Danisewicz, Elena Loutskina, Huyen Nguyen, Enrico Onali, Tomasz Piskorski, Arisy Fariza Raz, Klaus Schaeck, Chendi Zhang, Mandy Zhang and seminar and conference participants at the Financial Management Association Annual Conference, Cardiff University, Dublin City University, Kathmandu University School of Management, Lund University, Swansea University, University of Exeter, University of Nottingham, and the University of Sydney. None of the authors have a conflict of interest or financial and personal relationships with other people or organizations that could inappropriately influence (bias) their work. † Email: cummingd@fau.edu. Florida Atlantic University and University of Birmingham. ‡ Email: h.farag@bham.ac.uk. University of Birmingham. § Email: s.koirala@bham.ac.uk . University of Birmingham. * Corresponding author: Durham University Business School, Mill Hill Lane, Durham, DH1 3LB. Email: danny.mcgowan@durham.ac.uk. Durham University. This preprint research paper has not been peer reviewed. Electronic copy available at: https://ssrn.com/abstract=4931232Preprint not peer reviewed1 How Disruptive is Financial Technology? Abstract We study whether Fintech disrupts the banking sector by intensifying competition for scarce deposits funds and raising deposit rates. Using difference-in-difference estimation around the exogenous removal of marketplace platform investing restrictions by US states, we show the cost of deposits increase by approximately 13% within small financial institutions. However, these price changes are effective in preventing a drain of liquidity. Size and geographical diversification through branch networks can mitigate the effects of Fintech competition by sourcing deposits from less competitive markets. The findings highlight the unintended consequences of the growing Fintech sector on banks. 19 August 2024 JEL Codes: D26, G21, G23 Keywords: fintech, banking, deposits This preprint research paper has not been peer reviewed. Elec