P2P Crowdfunding Pipelines And London Bus Syndrome


London Bus

We are making final preparations for the next loan in what promises to be an exciting series of offerings of peer-to-peer (p2P) business loans on our platforms.

The pipeline has had more than a little of the London bus about it – nothing for what seems an age, and then loads come along at once. So, with apologies for the delay, we ask you to watch this space.

We're pleased to report that in this interregnum, our after-sales market – the buying and selling of loans by registered lenders – has been vigorous.

CrowdfundinsiderLogo

The after-market is about to take a step forwards, with the standardisation of data and the creation of an inter-platform market. At least that's our best understanding as we read a recent article from our friends at Crowdfundinsider, who report on an initiative by Abundance Generation.

The key points of the embryonic new marketplace are reported as follows:

  • Both investors and originators agree that the standardization of [loan]data will allow for continued growth and an increased influx of capital.
  • Lack of liquidity in the space with no established secondary market leaves investors with little flexibility and limits rate of capital deployment.
  • The leading participants in the marketplace lending sector are built to withstand downturns and expectations are for the asset class to "prove durable" during times of economic stress.
  • Consolidation of platforms will occur during unfavorable economic conditions during which platforms will diversify product lines
  • The industry will continue to see evolving business models for funding
  • Lenders must be able to access larger and more diversified pools of capital to scale to capitalize on the demand that banks cannot satisfy.
  • Despite the recent concerns around increasing delinquencies and where we stand in the credit cycle, all are certain that the leading participants in the space are built to withstand downturns and, further, that the asset class will prove durable in times of economic stress."

M&CLogo

Risk Analysis at Money&Co.

See a basic explanation of the risks of being a lender here, from our Frequently Asked Questions page. See also our Knowledge Hub for facts and tips on crowdfunding in general and P2P lending in particular.



FOLLOW MONEY&CO. ON TWITTER

Search news

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More news

2019
MarchFebruary
January
2018
DecemberNovemberOctoberSeptemberAugust
July
June
May
April
March
February
January
2017
December
November
October
September
August
July
June
May
April
March
February
January
2016
December
November
October
September
August
July
June
May
April
March
February
January
2015
December
November
October
September
August
July
June
May
April
March
February
January
2014
December
November
October
September
August
July
June
MayMarchFebruary

Search blogs

You may put double quotes around your search to search for literals. Max. 4 words inside quotes (dashed words count as one word).

Allowed symbols: " ' & -

More from blogs

2018
2017
2016
NovemberOctoberSeptemberAugustJulyJuneMayMarchFebruaryJanuary
2015
DecemberNovemberSeptemberAugustJulyJuneMayAprilMarchFebruaryJanuary
2014
DecemberNovemberOctoberSeptemberAugustJulyJune



Disclaimer: Money&Co.™ is the trading name of Denmark Square Limited, Company Number 08561817, registered in England & Wales, authorised and regulated by the Financial Conduct Authority (FCA). The company is identified on the Financial Services Register under Reference Number 727325. The registered office is 58 Glentham Road, Barnes, London, SW13 9JJ where the register of Directors may be inspected. Denmark Square Limited (ISA manager reference number Z1932) manages the Money&Co. Innovative Finance ISA.