Frank Rotman
Founding Partner at QED Investors
Frank Rotman
Founding Partner at QED Investors
Manakin Sabot, Virginia
Overview
Work Experience
Founding Partner
2008 - Current
Frank Rotman is a founding partner of QED Investors. His investments are focused on financial services and financial technology companies that are credit oriented or have data analytics foundations at their core. His portfolio of 20+ investments includes many of the emerging next-generation companies in the financial services eco-system such as Credit Karma, Prosper, Avant, SoFi, GreenSky, LendUp, Current and True Link.
Chief Strategy Officer/Chief Credit Officer
2005 - 2007
Number two to the Founder/Owner Helped grow the business from a conceptual test to an operating business in less than a year Responsibilities span the entire business and include: - Overall corporate performance and goals setting/reporting - Corporate strategy and business model - Credit models and consumer pricing - New product development - Capital markets
SVP Installment Loans
2005 - 2005
Product Line Management - Personal Loans and Lines of Credit; Full strategy, balance sheet, and operational responsibility for Capital One's Installment Loans business (over $6.5 Billion in assets) - Responsible for Hibernia's Personal Loans and Lines of Credit existing portfolio and new originations post acquisition - Full responsibility for Capital One's TLO (Thrift Lending Operations). Operational support for business lines that are housed within the Thrift. - Successfully completed an overhaul of the business due to lackluster performance over the past few years - resulted in a tripling of NIAT contribution in just one year after deployment. New strategy/projections suggested that the business should be able to increase its contribution by a factor of five in the next three years Early changes to the business included: - Complete overhaul of the strategy, targeting, product structures and marketing materials - all oriented around customer needs. - Reduced 2006 cost structure by almost 20% - Improved marketing efficiency by over 25% with the deployment of new consumer oriented marketing materials - Deployed an Underwriting philosophy and platform that recognized and utilized the unique nature of Installment Loans - Started accepting non-pre-approved applications through the Web, phone or an agent banking network
Product Line Management - Upmarket Card
1999 - 2005
Increasing set of responsibilities over this period, all within the Upmarket Card division All responsibilities were as the P&L owner of various sub-business units within Upmarket Card General focus was to launch new segments or repair underperforming P&Ls. Highlights: Took ownership a Superprime business model that was overly reliant on long-teasers, and redesigned the strategy to enable the launch of our 4.99% Fixed rate offering. Concurrently redesigned our teaser offerings to protect the P&L from teaser hoppers. Managed an integrated marketing budget of $200MM+ annually which crossed many products and channels Helped Capital One to re-enter the Prime market after years of inactivity in this space and three failed re-entry attempts. Required the design and implementation of new Underwriting tools including verifications, severity management and occupation analysis. Grew the Young Adults Credit Card P&L by a factor of four to over $80MM a year in NIAT contribution Redesigned our Rewards Platform to enable the vast majority of our Upmarket mail to be Rewards offerings. Required a complete overhaul of our Rewards strategy, cost structure, and management of our existing $650MM of Rewards liability. Net result: Improved the profitability of Capital One's $32B Upmarket Card portfolio by over $200MM. Portfolio goal of 1% ROA achieved. Strategy and Innovation
Product Line Management - Subprime Card
1997 - 1999
Full strategy and balance sheet responsibility for Capital One's Subprime Credit Card line of business Established a credit underwriting philosophy and methodology that was and still is the foundation for all unsecured Subprime underwriting within Capital One Gained full support of the CEO and Board of Directors to rapidly expand the business Built the business from the ground up, growing the team from 8 to over 150 and the annual marketing budget from $15MM to over $250MM Worked with Treasury to establish multiple private and public funding sources that could handle the risk profile and growth rate of the business Product Line Management - New Business
Account Management
1993 - 1997
Managed the creation, testing and analyzation of profit generating strategies for Capital One's credit card portfolio. Strategies included: Credit line policies (increases/decreases) Pricing strategies (proactive increases/decreases) Cash limits Bounced check prevention Transaction level authorization policies High risk account identification and closure Account activation criteria Spent time with our Regulators and internal Compliance department to develop Capital One's initial Adverse Action process Statistical Modeling
Risk Operations
1993 - 1997
Strategic owner of the Collections, Recoveries and Fraud departments Responsible for many aspects of day-to-day operations including scheduling, staffing, incentives and performance management Developed new customer friendly tools that improved liquidation rates by 15% Managed a Legal network responsible for executing a litigation strategy designed to collect from customers who had the ability but not the willingness to pay Designed and managed a Collections/Recoveries Agency network consisting of dozens of agencies and thousands of FTEs. Network brought in over $700MM of Collections and $500MM of Recoveries annually. Introduced new tools in the Fraud department that ultimately resulted in reducing Fraud losses by almost 50%
Research and Teaching Assistant
1992 - 1993
Received University funding to pursue research directed at achieving M.S. degree Teaching Assistant for two classes. Responsibilities included. Creation/grading of class assignments Creation/grading of tests Occasional classroom lecturing Individual time with students/office hours Grants
Research Assistant
1991 - 1993
Developed algorithms for an intelligent computer optimization module used to aid JPL in scheduling scientific experiments aboard NASA's unmanned spacecraft Created and implemented a methodology used by JPL scientists to assign an objective "value" to the amount of science done by each requested scientific experiment Created a working optimization module that was used in the scheduling of experiments aboard the Mars Explorer Mission
Education
B.S
1988 - 1993
M.S
1988 - 1993
High School Diploma
1984 - 1988