European Crowdlending fund monthly review (March 2019)

At the beginning of each month we publish brief review about crowdfunding and peer-to-peer European markets and how they affect fund‘s performance.

Monthly result: +0.64%
Year-to-date result: +2.19%
Result since Fund launch (2016): +21.85%

 

We analyze newly issued loan amounts by crowdfunding and peer-to-peer lending companies in Europe. Not all companies publish their statistics publically, therefore, according to public data, companies funded 561 mln. EUR of loans in March 2019 (9% more than the previous month). Latvian lending marketplace Mintos widens the gap from the others with 198.1 mln. EUR newly issued loans (staggering 26% more than the previous month). Second largest platform by loan amount funded was Zopa (UK), which reached 115.1 mln. EUR of new loans (4% less than the previous month). UK platform Ratesetter was third with 48.8 mln. Loans funded (whopping 35% less than the previous month).

The amount of loans funded in the Baltic states grew by 25% in March and totalled to 272 mln. EUR. The fastest monthly growth was demonstrated by the Estonian real estate development platform Estateguru, which grew 123% compared to last month and funded 7.8 mln. EUR of loans.

Platforms that lend to Lithuanian businesses and individuals collectively funded 4.79 mln. EUR in March.

The distribution of funded amounts was the following:

  • Paskolų Klubas was ahead with 1.603 mln. EUR funded amount;
  • Latvian lending marketplace Lenndy with multiple loan originators from Lithuania funded 1.21 mln. EUR of loans;
  • Finbee for business and individuals combined funded 753 thousand EUR of loans;
  • Savy peer-to-peer platform funded 663 thousand EUR of loans;
  • Real estate development platform Nordstreet reached 390 thousand EUR.
  • Freshly launched real estate platform Profitus funded 1 project (170 tūkst. EUR).

European Crowdlending fund (ECF) class B share price increased by 0.64% in March 2019. Net asset value grew by 24% reaching 13.2 mln. EUR. Additional capital was allocated to platforms that are already in the portfolio based on supply of suitable investments.

At the end of the month, write-offs of insolvent loans were not significant. Lower than usual price increase was due to the profit tax paid for the year 2018. Portfolio liquidity remains optimal – 75% of the NAV are investments with a maturity of 12 months or less.