Weekly Online Lending Snapshot – January 05, 2018
For the equity markets, the new year is picking up where the old one left off. In the U.S., the Dow Jones Industrial hit 25,000 for the first time in its over one hundred year history. Similarly, Germany’s DAX and the FTSE 100 in the U.K., as well as Japan’s Nikkei, and India’s Sensex are all at, or near, historical highs. Also this week, the U.S. Fed’s Federal Open Market Committee (FOMC) released the minutes from its December meeting, which, among other things, notes the concern of “a couple” participants with regards to high equity values, low market volatility and “some evidence of easier terms for lending to risky borrowers” stating that these factors “could, over time, pose risks to financial stability”.
In other news, it was reported that Tencent and Alibaba, as well as a number of other credit-focused firms, have signed on as backers for a collaboration with the People’s Bank of China to create a centralized personal credit information platform company called Baihang Credit Scoring. Small business lender Funding Circle, and INTRUST Bank, a regional bank headquartered in Kansas, announced that INTRUST will begin funding U.S. small business loans originated through Funding Circle. Consumer lender and personal finance company MoneyLion announced that it has raised a $42 million Series B funding round led by existing investor Edison Partners, with participation from other existing investors including Fintech Collective, Grupo Sura, as well as new investors Greenspring Associates and Danhua Capital.
Note that this report is updated as of Thursday’s market close to ensure we can get it to you before the weekend.