New Lenders Take a Shine to Ignored Diamond Industry

New Lenders Take a Shine to Ignored Diamond Industry

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

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The video discusses the exit of banks from the diamond lending business due to declining prices and lack of transparency in the midstream sector. A new risk-mitigated framework is introduced, focusing on collateral rather than cash flow, with higher interest rates. The framework offers additional marketing solutions, making it attractive to midstream companies even when commodity prices recover. Funding is sourced from specialty finance companies, with potential future collaborations with banks.

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5 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

What are the main reasons banks are pulling out of the diamond lending business?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

How does the risk mitigated framework created by the speaker differ from traditional bank lending?

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3.

OPEN ENDED QUESTION

3 mins • 1 pt

What are the minimum lending requirements mentioned in the discussion?

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4.

OPEN ENDED QUESTION

3 mins • 1 pt

What is the expected future trend for midstream diamond companies in relation to the speaker's lending solutions?

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5.

OPEN ENDED QUESTION

3 mins • 1 pt

In what ways does the speaker's company assist borrowers beyond providing liquidity?

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