Specifically, as reported by Reuters, he said,
"Technology has changed every other industry such as film, music and even football clubs, so why not finance?
With open access to borrower information - which is held centrally and virtually - there is no reason why end-savers and end-investors cannot connect directly,"...Please re-read the highlighted text again as Mr. Haldane has nicely summarized why there is a need for observable event based reporting for structured finance securities if that market is to be restarted and for banks to provide ultra transparency.
End-investors are interested in putting money at risk when they have open access to borrower information through a data warehouse. End-investors can independently assess the risk of the borrower and set their exposure to the borrower based on this assessment of risk and the end-investor's capacity to absorb losses.
End-investors are not interested in investing through an intermediary that creates opacity so the end-investor does not have open access to the borrower information.
Britain may be facing a banking revolution as technology transforms business lending and the dominance of its banks, a senior Bank of England official told the Independent newspaper on Monday.
"The mono-banking culture we have had since the 1990s is in retreat," said Andy Haldane, the BoE's executive director for financial stability.
"We are seeing a much more diverse eco-system emerging with the growth of new non-bank groups offering peer-to-peer lending and crowdfunding which are operating directly with a wider public," he said.
Peer-to-peer lenders directly match up firms in need of cash with investors, and so-called crowdfunding, raises small amounts from a large number of funders.Please note that these solutions are based on the use of technology to provide transparency to the investor.