PeerIQ has released their latest marketplace lending securitization report for the third quarter. Total issuance for the quarter was $2.6...
PitchBook provides its insight on the fintech market in 2017; cites securitization as a positive factor for the online lending market with marketplace lending securitizations at $5.4 billion through the third quarter of 2016, an increase of 86% from 2015; also notes robust data providers including Orchard, DV01, MonJa and PeerIQ as another positive factor for the marketplace lending industry's growth. Source
Securitization was a bright spot in online lending in 2016 with significant securitization growth; Ram Ahluwalia's firm PeerIQ provides data and analytics services to issuers, investors and originators; helps stakeholders price, value, exchange and structure risk in securitizations; Ram Ahluwalia talks about themes relating to securitization growth; year over year growth was 59% from 2015 to 2016 with over half of loans being funded via ABS; securitizations are also becoming increasingly rated by ratings agencies; originators have benefited by accessing lower cost of capital providers such as pension funds, banks and insurance companies; major online lending platforms have also launched their own branded securitization shelfs; Ahluwalia also speaks about the challenges of the securitization market and answers audience questions. Source
PeerIQ has released its fourth quarter "Marketplace Lending Securitization Tracker" with details on the marketplace lending securitization market; the chart below shows the marketplace lending securitization issuance for the top 10 originators; SoFi leads the list with $6.85 billion in securitized loans, followed by Prosper and Avant. Source
Once seen as a niche segment of finance online lenders are now originating billions in loans each year; the bigger they get the questions start to arise if they can handle an economic downturn and are their underwriting models good enough; American Banker digs into the overall industry by looking at securitization growth, whether or not traditional banking is dead and more. Source.
Lend Academy provides highlights from PeerIQ's Q1 2017 securitization market report in their article; total marketplace lending securitization issuance for the first quarter was $2.9 billion and all of the quarter's securitization deals were rated by a rating agency; SoFi leads the market in securitizations with nearly $9 billion representing 51% of the market's deal value. Source
Alibaba-backed Ant Financial sold $578 million worth of securities backed against small loans granted to consumers on "Double 11" day, the festival to celebrate singlehood and the world's largest online shopping day; Chongqing Alibaba Small Loan provided the underlying loans for the asset-backed security through an online consumer credit portal, Ant Check Later ("Huabei" in Chinese); the Shanghai Stock Exchange approved the offering and allowed it to be privately placed last Monday to qualified institutional investors. Source
Student loan marketplace lender, Earnest, has completed its fourth securitization; Goldman Sachs and Barclays were the lead arrangers; portfolio valued at $174.44 million; the October securitization is the fourth for the year with previous securitization deals in February, May and July. Source