CIO to identify strategic venture investments
First American Financial Corp., a provider of title, settlement and risk solutions for real estate transactions, has appointed Paul Hurst (pictured) as chief innovation officer, the company said Thursday.
In a prepared statement, First American CEO Ken DeGiorgio said Hurst will be tasked with identifying additional opportunities to leverage its strong capital position, nationwide distribution channels, data assets and proprietary technologies.
Mortgage Professional America reached out to Hurst to learn more about his new role. He described a mission of accelerating First American’s technological strides.
“With our unique combination of financial strength and stability, innovative proprietary technologies, and unmatched data assets, First American is leading the digital transformation of the industry,” he told MPA. “We’ve made substantial strides in title production automation and data extraction, and launching customer-facing platforms for residential transactions, such as IgniteRE and Endpoint, and our commercial transaction platform, ClarityFirst.”
In tandem with his efforts, he said American will continue investing in further technology: “We’ve also been very actively making venture investments in next-generation real estate and proptech companies. All of these are examples of an innovation strategy that is well underway at First American. This new position was created to further accelerate that strategy and our innovation activities.”
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Hurst is tasked with identifying such investment opportunities, the company said. “Hurst will also be responsible for identifying opportunities to innovate through strategic venture investments, partnerships, and mergers and acquisitions. He will continue to serve as the managing director of the company’s venture investing arm. In that role, Hurst has guided investments in 20 high-growth proptech companies. Many of the proptech companies within First American’s venture portfolio have become strategic partners, positioning First American at the forefront of real estate innovation. As of the end of 2021, the company’s venture investments had produced $355 million in gains.”
Added: DeGiorgio: “Paul’s insightful approach to the rapidly evolving real estate and mortgage finance landscape and his expertise in the process of innovation make him ideally suited for this new role, which will strengthen our position as the leader in the digital transformation of the title and settlement industry.”
It’s all part of a broader strategy for First American, Hurst explained: “Our investments internally and externally connect to a larger, comprehensive strategy that leverages First American’s position as the leading innovator in title and settlement. Through sustained, significant investments in our operations and external third parties, we are well positioned to further automate processes, extend our leadership in data breadth and quality, attract and retain top talent, and create products that significantly improve the experience of our customers and all the parties involved in real estate transactions.”
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The company said Hurst helped develop and launch Endpoint, a digital title and settlement company funded by First American that streamlines home closing for real estate agents, buyers and sellers, and empowers proptech companies and investors looking to scale their closing operations. Launched in 2018, Endpoint has rapidly expanded and is currently operating in 20 markets across seven states, company officials said.
Hurst formerly was a partner at a leading international consulting firm, where he applied a process-based approach to innovation to launch and scale five venture-backed companies across three continents, spanning insurance, financial services and real estate. Before that he advised Fortune 100 companies on corporate strategy, mergers and acquisitions, and digital transformation. He holds a doctoral degree from the University of Cambridge and Master’s and undergraduate degrees in economics and pharmacology.
The move comes one day after First American announced key executive appointments – including DeGiorgio’s ascendancy to CEO after having been named president of the company last year. He joined the company in 1999. DeGiorgio’s predecessor as CEO, who had held that post since 2010, Dennis J. Gilmore, transitioned to become chairman of the board of directors, the company announced.
The company’s technological push also figured prominently in DeGiorgio’s appointment to the CEO position, Gilmore said in a prepared statement. “Over his 23 years of service to First American’s employees, customers and shareholders, Ken has acquired an in-depth understanding of our business and consistently demonstrated that he has the vision, strategic insight, commitment and skill to lead our company,” said Gilmore. “Under Ken’s leadership, First American will continue to lead the digital transformation of the title insurance and settlement services industry and capitalize on the many opportunities the company has to grow our business.”
