Marketplace Originated Consumer Assets 2017-1: 11 November 2017
The second transaction where the issuer will make payments on the notes from, among other things, payments of principal and interest on a portfolio of loans advanced by P2P Global Investments PLC (the Seller) through the Zopa Platform which will be purchased by the issuer on the closing date.
The Investment Manager is MW Eaglewood, which specialises in direct lending and marketplace investment strategies. It is part of the Marshall Wace Group, a group of affiliated investment managers established in London in 1997 focused principally on equity strategies.
Zopa Limited operates a consumer-focused marketplace lending platform which allows retail investors, government bodies and institutional investors to lend their funds to pre-screened individual consumers or purchase loan contracts made by other lenders to such consumers.
On the provisional loan portfolio cut-off date the provisional loan portfolio comprises of 31,153 loans advanced to 30,979 Zopa borrowers.
The underlying Zopa borrowers in the transaction are individual consumers resident in the UK at the time of the initial advance of the loan. The average outstanding balance is £6,708, the largest is £27,790 and the WA seasoning is 4.48 months. The pool is highly granular with the top 1 borrower accounting for 0.01% of balances, and the top 10 for 0.13%. Distribution by Loan Usage (by current balances): debt consolidation 38.00%, vehicles 30.82%, home improvements 20.90%, other 10.29%. Distribution by Region: North East 12.90%, East Anglia 12.67%, Midlands 12.38%, North West 12.26% and South Central 10.94%.
Significant Investor: P2P Global Investments PLC will, on the Closing Date, purchase (i) at least 5% of each of the Class A Notes, Class B Notes and Class C Notes and (ii) 100% of the Class D Notes, the Class E Notes, the Class X Notes and the Class Z Notes in compliance, so far as its 5% minimum holding of each Class of Notes is concerned.
CRR 405: P2P Global Investments PLC, as “originator” for the purposes of Article 405(1) of the CRR will, for the life of the Transaction, retain a material net economic interest of not less than 5% in the securitisation. As at the Closing Date, such interest will comprise the Retention Holder holding no less than 5% of the nominal value of each class of Notes sold or transferred to investors on the Closing Date.
Compare/contrast: Marketplace Originated Consumer Assets 2016-1