Lending Review

To 5 UK Platforms by Market Share

Rank	Platform	Last 3 Month Market Share	Month to Date Volume	Cumulative Origination
1	Zopa	22.93%	£33m	£1055.9m
2	Funding Circle	21.38%	£28.8m	£819.5m
3	RateSetter	18.08%	£25.6m	£786.5
4	Market Invoice	11.76%	£17.2m	£502.8m
5	LendInvest	10.36%	£m	£390.4m

Source: www.altfidata.com

Growth in online financing activity at the top 4 UK marketplace lending platforms has accelerated in September after a slowdown in volume originations in August. To place the current month to date volumes in context, loan originations in September 2014 for Zopa, Funding Circle and RateSetter were £28.7m, £32.8m and £23m respectively. A year on, and over half way through September, the Liberum AltFi Volume Index UK is on track for a record month of origination.

Furthermore, RateSetter recently announced the onboarding of institutional funding as part of a wider strategy to diversify sources of investor capital. The platform intends to fund roughly a 3% proportion of its lending using institutional capital. We should expect to see a slight uptick in the platform’s lending growth. MarketInvoice has successfully surpassed half a billion in funding for SMEs, with over 34% of this amount being transacted in 2015 alone, highlighting the significant opportunity in invoice financing for businesses and investors.

In other news, there has been a positive change in the Liberum AltFi Returns Index, which stood at 5.4% at the end of August.