Prosper to Host Performance Measurement Webinar
Prosper is hosting a webinar for bloggers to discuss creating an accurate rate of return calculation for peer-to-peer lending investments. Both Prosper and Lending Club have previously been accused of over-stating the rate of returns that investors are getting by using a calculation that includes a majority of notes which have not matured. Attendees will hear from Prosper CEO Chris Larsen, EVP of Risk Management Jim Catlin and Chief Investment Officer Joe Toms.
Prosper sent out the following email to a group of individuals that cover the peer-to-peer lending industry:
While banks have been stymied in their lending and rocked by consumer backlash, peer-to-peer lending has grown to a $500 million industry. Prosper alone has grown 367% year-over-year in loans funded compared to the third quarter of 2010, marking 12 consecutive months of growth.
Yet, the nagging question has been: With the growth in the industry and only two major players, how does a p2plending investor get a clear picture on risk and returns?
What we’ll discuss:
1) Consumer credit industry standards for measuring risk performance: the practice of analyzing loan vintages
2) Why Prosper reports Seasoned Returns, and why we think this measure is important
3) How p2plending investors measure risk vis-à-vis return
4) Call for an industry standard on measuring p2plending returns, and what Prosper is doing about it
We look forward to your questions and insights at the Summit.
Bloggers interested in registering for the webinar can do so at this link.