POSTS FROM PAST WEEK
Originations in November marked a new record for us with € 3,338,570 of loans originated. The previous record was €2,782,475 in August of 2016. In comparison to October 2016 our originations have increased by 36%. While each country experienced an increase in originations over October Finland saw the most dramatic change. Finland’s October origination was €499,185 while November totaled €1,040,950 representing a 108% increase in just one month.
In our regular industry news roundup we reviewed the many marketplace news stories over the previous week. On Thursday the Los Angeles Times reported on a recent move from Office of the Comptroller of the Currency to allow bank charters to be issued to online marketplace lenders in the U.S. CrowdFund Insider published an article about a strategic partnership between PeerIQ, a P2P analytics provider, to better inform lenders of market data. AltFi News posted an article on the connection between marketplace lenders and financial health apps. Banking Exchange discussed the growing number of underbanked regions in which marketplace lending can continue to grow.
Estonian Business news site Äripäev published an article by Bondora CEO Pärtel Tomberg about how the burst of Swedens real estate bubble will have a large impact on Estonian economy due to Swedish banks controlling nearly two-thirds of Estonian credit market.
Bondora was also listed among 25 fintech companies to watch in 2017 by technology news site Silicon Republic.
In this post we provided more detail on the meaning of the color-coded Bondora rating system. The various colors assigned to different loans provide a quick visual reference for investors gauging the activity on a loan. Current loans are green while overdue loans are red. It is important for investors to understand the meaning of these colors to better set their expectations for a given loan.
On Thursday of last week we explained the parameters and calculations we use to achieve diversification for our investors. We outlined the process by which the Portfolio Manager tool strikes a balance between the pursuit of returns and diversification. Bondora uses such characteristics as available cash balance, expected cash flow, desired capital deployment and more in these calculations.