By Sukhwinder Shoker on Friday 4 September 2015
On the back of three consecutive months of strong growth and an industry record-breaking month in July (€61m), the rate of growth of the Liberum AltFi Volume Index Continental Europe declined in August with €50.9m in origination for the month. However, growth vs. August last year remains robust at just under 100%. Despite a slight dip in Auxmoney’s monthly volume originations (€26.2m), the platform continues to dominate monthly deal flow. The gap between Auxmoney and the second largest platform by origination volume (Pret d’Union) was considerable in August, with Pret d’Union posting €9.3m of lending.
The summer slow down appears to have affected marketplace consumer lending (down 23%) more than business lending, which only saw a 7.5% fall from July’s record €10.2m in SME loan financing. Pret d’Union, Bondora and Fixura all experienced significant dips in origination activity through their platforms, contributing to the overall reduced monthly volume in consumer lending.
Zencap, the German business lending platform, bucked the market trend, accomplishing a record breaking month with over €5m in volume origination. That is also far greater than other peer to business lenders in continental Europe, according to the index. Platforms will undoubtedly have their eye on year-end figures and it may be the case that we see lending volumes ramping up in the forthcoming months as platforms strive to hit volume targets.