January gave a another stable return of 0.6% in Quantrom P2P Lending

Figure 1 Performance of Note price and Long-Term Return Target

Monthly comments

Interest payments in January was fully in line with our expectations.

Current loans represented 76.1% of the value of the portfolio at the end of January an increase of almost 2%-point during the month. At the same time loans 60+ days late increased slightly.

In January, an auction related to a delayed property loan unfortunately were not settled and the property will have to reauctioned. Staying with our cautious approach we have taken provision of 0.02%.

The return for the month of January 2021 was 0.60%.

Since inception, Quantrom P2P Lending has given a return of 34.09% and outperformed the long-term return target by 7.36%-points.

Portfolio

The portfolio at the end of January 2021 consisted of almost 8,700 loans. The weighted average interest rate on the portfolio is 11.48% with an average weighted maturity of 27.4 months.

The main exposure in value is still towards car loans which represent 62% of the value of the portfolio at the end of the month.

Exposure towards property loans is at 22% of the value of the portfolio. At the end of December, personal loans represented 15%, while business loans were less than 1% of the value of the portfolio.

Figures 2-12 provide more details on the composition of the loan portfolio.

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Quantrom Limited, Limerick

February 2021

About the Author

Gustav Jensen

Gustav is the managing director of Quantrom Limited and is living in near Brussels.

Economist from University of Copenhagen mainly working in finance and banking.