Podcast with Frank Rotman, Founding Partner of QED Investors
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In our latest podcast, Christian Rolon (WG ’19) is joined by Frank Rotman, one of the founding partners of QED Investors. QED Investors invests in early-stage Fintech companies based in the US, UK, and Latin America. Based in Virginia, QED was founded in 2008 by Rotman, Caribou Honig, and Nigel Morris (co-founder of Capital One). QED Investors has invested in Avant, AvidXchange, ClearScore, Credit Karma, Nubank, Remitly, and SoFi. Their exits include Braintree, Klarna, and Orchard.
Podcast Overview:
- QED’s investment approach and focus
- Why you need to build a good company before building a great company, and signposts on the journey from good to great
- How to test critical assumptions in an early-stage venture, and the importance of learning the business drivers quickly and cheaply
- How the recent slowing in early-stage funding is leading to a better set of startups
- Why there’s a disconnect between private and public valuations for Fintech firms, and why some late-stage Fintech firms may choose to remain private for longer
- Why consolidation will continue in the near-term, and which firms will look to expand their product offerings through M&A
- Frank’s Copernican Revolution in Banking thesis and what it means for Fintech firms’ product roadmaps and potential strategic shifts for incumbents
- Threats and opportunities that non-financial players present for Fintech firms
- Fintech verticals Frank is most excited for in 2019
- Importance of operational experience before beginning a career in venture capital
Frank Rotman is a founding partner of QED Investors. Frank’s portfolio companies include Avant, Credit Karma, GreenSky, LendUp, Prosper and SoFi. Frank publishes his thoughts on Fintech on his personal blog Confessions of a Fintech Junkie. Frank began his career at Capital One as one of its earliest analysts. At Capital One, Frank spanned a number of roles across subprime and upmarket cards, focusing on managing Capital One’s credit exposure and expanding new business lines. After leaving Capital One, Frank created a Student Lending company. Frank received his BS in Applied Mathematics and his MS in Systems Engineering, both from the University of Virginia.
