Bondora sees slight drop in secondary market transactions
Bondora’s secondary market transactions dropped by 2.6 per cent from €257,149 (£214,888) in November to €250,404 in December.
Bondora said this could represent a longer-term trend of investors opting not to buy and sell loans in December actively.
The European peer-to-peer lending platform said manual transactions increased in December, totalling €159,723 in transactions, while its API and portfolio manager transactions dropped month-on-month by 26.9 per cent and 39.3 per cent respectively.
Read more: Bondora recovered €872,189 in November
Current loan transactions continued to make up most of all secondary market transactions, with €164,116.
The majority of these were manual transactions, with a 51.3 per cent share, followed by API (35.1 per cent) and portfolio manager (13.6 per cent).
In contrast to November, transactions conducted at par were the most popular, making up 48.7 per cent of all transactions, while loans sold at a premium were close, coming in with 42.4 per cent.
Read more: Bondora’s monthly investments reach record high for 2021
In December, secondary market overdue loan transactions totalled €35,311 – a 38.9 per cent increase from November. This rise mainly comes from overdue loan transactions at a discount increasing by 202 per cent.
Transactions at par dropped by 53.2 per cent, while transactions at premium rose by 4.6 per cent.
Manual transactions also saw a huge rise in those sold at discount, nearly doubling from €15,695 in November to €27,117 in December, while API transactions fell by 15.7 per cent.
Defaulted loan transactions on the secondary market increased by 60.8 per cent in December after rising by 2.4 per cent in November.
Read more: Bondora’s originations reached €20.5m in November
Last month, defaulted loan transactions at a discount took over, increasing by 145.5 per cent, while transactions at par dropped by 97.8 per cent to €292.70.
Meanwhile, manual transactions rose by 45.5 per cent, while API transactions saw a slight five per cent rise.
Read more: Bondora sees drop in secondary market transactions
“2021 was a slow year for the secondary market, with regular ups and downs in activity but ending lower than one year ago,” Bondora said in a blog on its website.
“This is no coincidence, as more investors opt for the hands-free Go & Grow investment method rather than buying and selling on the secondary market themselves.
“But one relatively consistent thing is that manual transactions have been the category with the highest value of transactions, throughout the year, except for August.
“Let’s see what this year will hold in store for the secondary market.”