European Crowdlending fund monthly review (April 2019)

We continue the ECF fund results column, in which, at the beginning of each month, we briefly discuss what is happening in the European crowdlending market and how it affects the Fund’s results.

Monthly result: +0.68%
Result from the beginning of the year: +2.89%
Result from the start of activity: +22.67%.

Platforms that provide statistics funded the loan portfolio of 571 million EUR in April. Platform Mintos, which is registered in Latvia, reached a new record, and, in April, it reached over 2 billion EUR funded loan portfolio from the start of activity. In April, financing of loans was 190.2 million EUR (4% less than last month). Respectively, platforms Zopa and Ratesetter, which are registered in UK, were in the second and the third place financing 118.5 million EUR (+ 3% more than last month) and 74 million EUR (+ 51% more than last month) of loans.

After Mintos, Twino, Bondora, Peerberry and Estateguru financed most of the loans in Baltic States, respectively, 15.9 million EUR, 10.9 million EUR, 9.9 million EUR, 7.1 million EUR. The sequence of the rank did not change compared to the last month.
The platforms that finance Lithuanian natural and legal persons (which provide statistics to the public) collected 5.21 million EUR in April, i.e. even without the Nordstreet platform data even 8.77% more than last month.

The distribution of investments looked like this:

  • “Paskolų Klubas” financed loans for 1.508 million EUR. Loans (-5.94%);
  • The platform Lenndy, which is registered in Latvia but offers Lithuanian business loans collected 1.343 million EUR (+10.91%);
  • Finbee collectively (consumer and business loans) collected 892 thousand EUR (+18.39%);
  • The amount of loans financed in the Savy platform reached 778 thousand EUR (+17.43%);
  • The platform of real estate development projects Nordstreet, which collected 390 thousand EUR in March, did not provide the data for April;
  • During the last month, the Profitus platform collected 698 thousand EUR (+305.29%);

The European Crowdlending Fund (ECF) had 0.68% increase in March. The assets managed by the Fund reached 13 564 million EUR this month . The new capital was distributed to the platforms, with which we are already working, mainly Mintos, Lenndy, Peerberry and direct investments. The decision was made to stop investing to the Twino platform due to doubts expressed by auditors while assessing the financial statements and to the Debitum platform due to the reputation of the electronic money institution used for operations. The write-offs of the insolvent loans to provisions were performed as always at the end of the month. The portfolio liquidity remains optimal – 68% of the invested funds are allocated to investments with the duration of 12 months or less. This number decreased by 7% because more money was invested in longer-term loans with higher interest rates for better results.