- New quarterly industry tracker provides comprehensive, standardized indicator of U.S. marketplace lending securitization activity
- Inaugural report points to rapid industry growth; 2015 YTD issuance of $3.2 billion nearly quadrupled the $829 million of offerings in 2014
- Proprietary analysis reveals marketplace lending deals are not structurally dissimilar to a broader universe of consumer credit securitizations and have comparable credit quality
NEW YORK, October 29, 2015 – PeerIQ, a financial information services company that connects peer-to-peer (“P2P”) lending to the capital markets by helping institutional investors analyze, access and manage risk, today announced the launch of its quarterly Marketplace Lending Securitization Tracker (“MLS Tracker”). Designed as comprehensive tracker of marketplace securitization activity, the MLS Tracker provides standardized information and analysis of deal volumes, issuers, Asset and Liability structures, and ratings to industry participants.
The inaugural Q3 2015 MLS Tracker report points to rapid marketplace lending securitization growth, with overall consumer and student loan issuance volumes of $3.2 billion across 14 deals in 2015 year-to-date, representing nearly a 4x increase in securitization volume versus 2014, when $829 million was issued across 7 deals.
PeerIQ analysis of a subset of consumer marketplace lending securitizations versus a broad range of consumer credit deals determined that marketplace offerings do not differ materially from those backed by traditional assets. Rather, they have similar structural dimensions (such as par coupon, weighted-average life and issuance price) and asset credit quality at the higher end of the FICO range for traditional consumer credit securitizations.
Ram Ahluwalia, co-founder and CEO of PeerIQ said, “Marketplace lending securitization is scaling rapidly and U.S. issuance is estimated to reach $50 billion by the end of 2015. PeerIQ developed the MLS Tracker as an important tool for the industry, in line with our mission to increase transparency, promote industry standardization and help educate ABS investors about the opportunities and trends in our market. In the long-term, we hope this will contribute to the growth of a high-quality marketplace lending securitization market with broader access to liquidity.”
A copy of the inaugural tracker can be accessed here.
Founded by a team of seasoned capital markets and technology executives, PeerIQ is a financial information services company that provides institutional investors with tools for analyzing, accessing, and managing risk in the peer-to-peer lending market. PeerIQ’s analytics platform aggregates industry data from leading P2P platforms and offers sophisticated credit analytics and independent benchmarks to enhance efficiency and increase liquidity across this emerging asset class. More information is available at www.stage.peeriq.com.