By Daniel Lanyon on 11th January 2017
The market leader in the Chinese consumer lending market, in terms of numbers of customers, has annouced a tie-up with Tencent Licaitong.
China Rapid Finance, is cooperating with Tencent’s wealth management platform, Licaitong, to provide new investment products and choices for individual investors.
China Rapid Finance is China’s largest consumer lending marketplace China by number of loans having facilitated more than 10 million loans as of early December, 2016
Founded in 2001, he firm aims to provide credit to the estimated 500m consumers who have no credit histories and can’t borrow money from traditional financial institutions.
To reach this market it has proprietary technologies utilising machine learning and big data algorithms that analyse non-traditional and unstructured data from its multiple data channels.
Licaitong is Tencent’s wealth management platform, accessible via the WeChat wallet and QQ wallet. It provides Tencent users with quality investment opportunities and a transparent investment environment.
The initial amount, totaling more than RMB27m, immediately sold out within two hours of the launch online. With China Rapid Finance as the screening party for the underlying assets, the first-phase products on Tencent’s Licaitong platform included fixed-term financial products with maturities of 9 months, 12 months, 15 months and 18 months. The expected annualized returns are, respectively, 4.65 per cent, 5.03 per cent, 5.63 per cent and 6.19 per cent.
“Our first cooperation with Tencent’s Licaitong platform is a great start, and we hope to further expand our cooperation with Tencent in the future,” said Dr. Zane Wang, CEO of China Rapid Finance. “With this partnership, Tencent users will have multiple investment choices. The cooperation also helps to better serve our Emerging Middle-class, Mobile Active consumers, or EMMAs.”
"This collaboration between CRF and Tencent's Licaitong platform will support the development of inclusive finance in China," added Dr. Wang.
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.