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Along with opening up the market to a new asset class of loans for retail investors, we continue experiencing strong growth in the number of investors using the Mintos marketplace.
Increased demand for loans has affected the dynamics of the loan offering on the marketplace. Over the last few weeks, investor demand has outpaced loan supply and, as a result, investors might have noticed that there are fewer loans available for investment.
However, the total number of loans funded continue to grow strongly. If we look at investors activity, in Q3 2019 we see EUR 830 million of total loans funded, which is 25% higher than in Q2 2019, or 190% higher than in the same period in 2018. Meanwhile, more than 38 000 new investors have joined Mintos in Q3 2019. In September, Mintos investors made EUR 269 million worth of investments in loans on Mintos, and a total of EUR 17.5 million worth of loans were sold on the Secondary Market.
There are more than 17 million active loans on Mintos, and more than 52 000 loans available for investment. On average, 75-80% of loans on Mintos are funded by Mintos investment tools Invest & Access and Auto Invest. Loans are bought by automated tools before they manage to appear on the Primary Market. This way, only 20-25% of all loans available on Mintos make it to the Primary Market where they are available for investors for manual investing.
A constant supply for the growing demand
At Mintos, we have experienced and successfully balanced fluctuation of supply and demand before. Recently, we have connected a number of new loan originators to the marketplace. For example, yesterday, two new loan originators joined the Mintos marketplace – Stikcredit and E-cash, and Creamfinance launched another country on Mintos – Spain.
Creamfinance is one of Europe’s leading consumer finance providers and has been operating in Spain since 2017. Since then, the company has issued EUR 39.9 million in loans, with more than 52 000 loans disbursed in 2019 alone.
Stikcredit, on the other hand, is a loan originator from Bulgaria and now places its personal loans on Mintos, with net annual returns of up to 12%. Since its inception in 2013, Stikcredit has issued EUR 14 million worth of loans.
Lastly, E-cash provides short-term loans to citizens of Ukraine. The company issued its first loan in December of 2017 and as of July 31, 2019, E-cash has issued more than 121 000 loans worth more than EUR 10 million. Currently, the loan originator has more than 48 000 clients that have taken at least one loan and more than 26 000 repeat borrowers.
We will continue expanding and further diversifying our loan offering in our pursuit of opening the market to a new asset class for retail investors. As usual, investors will be informed about all new launches via our blog, newsletters and social media channels.
If you are using Auto Invest, you can always reset your criteria or open other portfolios to invest with on Mintos. You can also use Invest & Access where your funds will be invested by our highly-automated investment tool.