The Liberum AltFi Volume Index Continental Europe (ex Auxmoney) has hit a new high almost eight months after the previous record month of origination was established in June 2015. €52.4m was financed in February 2016 edging the previous record set at €51.5m. As explained in January’s roundup, Auxmoney has decided to switch to updating their origination volume on a quarterly basis only.
Figure 1: Strong monthly origination growth from Mintos, Fellow Finance and Twino
The Continential European P2P consumer lending sector failed to achieve consistent growth over the course of 2015. However in February YoY growth has improved substantially to 59.6% with a number of platforms achieving record months. Pret D’Union posted a record origination month of €16.7m and also provided the largest monthly contribution from any platform. Other record months were achieved by a number of smaller platforms in the index including Mintos, Fellow Finance and Twino, all of which are establishing promising growth trajectories for the year ahead.
Figure 2: Peer to Peer consumer lending growth outshines Peer to Peer business lending
Building on the successful growth of Peer to Peer business lending in January 2016 there were no signs of any slowdown in the smaller sub-sector which established a new record month in February. YoY growth has rocketed to 190% outperforming YoY growth for the wider industry as a whole which stands at 98.3%. Propelling this growth has been Funding Circle Continental Europe which triumphed in setting yet another record month with €10.2m in loan financing - this is also the largest monthly volume origination by a single business lender smashing the €4.3m set by Geldvoorelkaar way back in October 2014. Whilst February set a number of records it is interesting to note that business lending growth overall continues to lag behind consumer. The chart above shows the growth of each segment charted since inception. Business lending is now significantly lagging the growth of consumer lending.
In the burgeoning invoice financing sector, Finexkap has seen a record month of invoices traded, up 28.1% from the previous month.
Figure 3: Finexkap Monthly Volume Origination