Real estate focused peer-to-peer lending platform Viventor launches in Latvia.
The new company is open specifically to European investors from more than 30 European countries and offers investments in loans secured against mortgages from different EU countries. Investors are required to invest at least 500 Euros, as a minimum deposit, and at least 10 Euros per loan. The loan-to-value ratio is kept below 50% and investments are expected to generate an annual return of 6% or above, presenting low-risk profiles. In addition, the platform has implemented a form of coverage for all investments that are made before December 1st 2015, called the Buyback Guarantee, which aims to cover investors from any losses due to borrowers’ default. In addition, fees will not be applied until the same date in December.
The platform adopts a skin-in-the-game approach to lending and strives to ensure security, credibility and high quality investment opportunities. Andris Rozenbahs, COO of Viventor, commented:
"We want to show our investors that investments made via Viventor is a safe bet. All of the loans listed come with Buyback Guarantee and are secured by mortgages. Moreover, the loan originators keep at the very least a 5% share in every single deal, thus ensuring that investors are never left alone. Keeping in mind that these investments generate a fixed annual return of 6% and above - I'd say it is a solid deal.”
Eastern Europe’s Alternative finance market is one of Europe’s more active, with a surprising number of operators covering up a large number of niches. Can Viventor carve out a niche of its own within this rapidly expanding sector?
AltFi is returning to Amsterdam for its second annual Summit in the city. The inaugural event last year was a roaring success, with key figures from across Continental Europe's alternative finance and digital banking sectors highlighted. These included Jeroen Broekema, managing director of Funding Circle Netherlands, and Mieke van Engelen, head of innovative partnerships at ABN AMRO's standalone lending platform, New10.