I have several questions, all in the spirit of helping you sharpen up the idea:
Why a loan product? Is that to mimic cat bonds? Standard insurance (just pay the premiums) would be even easier for the client wouldn’t it?
It seems to me that existing players (banks, FTX) have a strong competitive advantage in formally creating new products. Perhaps this organization could have more value add as an advisory/intermediary. Helping clients implement and manage such strategies (part of which may include helping with design/specification of the products). Have you considered that?
On profit-seeking, if there was big enough demand out there, wouldn’t prediction markets be bigger already?
Happy to talk offline too. But I do like seeing open discussion of these ideas on the forum. Whatever input you get on this post will hopefully be useful for others considering similar ideas. For now mission-correlated investing and related ideas seem mostly academic (and perhaps private/secret). If you find otherwise it would be exciting to see that shared.
Thanks for putting this idea out there, Michael!
I have several questions, all in the spirit of helping you sharpen up the idea:
Why a loan product? Is that to mimic cat bonds? Standard insurance (just pay the premiums) would be even easier for the client wouldn’t it?
It seems to me that existing players (banks, FTX) have a strong competitive advantage in formally creating new products. Perhaps this organization could have more value add as an advisory/intermediary. Helping clients implement and manage such strategies (part of which may include helping with design/specification of the products). Have you considered that?
On profit-seeking, if there was big enough demand out there, wouldn’t prediction markets be bigger already?
Happy to talk offline too. But I do like seeing open discussion of these ideas on the forum. Whatever input you get on this post will hopefully be useful for others considering similar ideas. For now mission-correlated investing and related ideas seem mostly academic (and perhaps private/secret). If you find otherwise it would be exciting to see that shared.