While the majority of the financial technology focus in recent years has been on loan origination systems and automated decision tools, portfolio management is the real key to long-term success in commercial lending. Just ask lenders how many bad loans they’ve made during their career. The large majority will tell you that each time a loan was made, the financial institution had every reason to believe it was a good deal. The loans were within policy and conditions at the time called for approval and funding. When loans stop performing, it is almost always because circumstances have changed. From macroeconomic factors to poor business management to other direct influencers, loans can deteriorate for any number of reasons. That’s why the next significant area of fintech development will be in portfolio management, rather than the pre-funding processes.