Post by RateSetter on Oct 25, 2019 13:31:11 GMT
Good afternoon.
Today we have published the monthly update of portfolio statistics and also the quarterly review of the projections that underpin the Coverage Ratios. We've published a RateSetter Notice, which is copied below for reference.
Today we have published the monthly update of portfolio statistics and also the quarterly review of the projections that underpin the Coverage Ratios. We've published a RateSetter Notice, which is copied below for reference.
The latest update of RateSetter’s portfolio statistics is now available on our statistics page.
The quarterly update to the projections for the Provision Fund inflows and outflows has been completed in line with our current methodology. There have been no changes to the way that we calculate these projections, just a refresh based on the latest available data on loans originated.
Following the quarterly review:
- The Interest Coverage Ratio decreased to 130%
- The Capital Coverage Ratio is unchanged at 278%
Key movements:
- The performance of consumer loans underwritten in 2018 has improved relative to previous expectations, and this has been reflected in a reduction in lifetime expected loss;
- The lifetime loss rate projection for loans written in 2019 has fallen to 3.4%;
- The improvements have been balanced out by a small increase in future loss rate expectations from non-consumer loans.
Please remember, at RateSetter the Provision Fund spreads the risk of each investment across the entire portfolio of loans. This means that your investment will perform in the same way, no matter which loans you are matched to.
The quarterly update to the projections for the Provision Fund inflows and outflows has been completed in line with our current methodology. There have been no changes to the way that we calculate these projections, just a refresh based on the latest available data on loans originated.
Following the quarterly review:
- The Interest Coverage Ratio decreased to 130%
- The Capital Coverage Ratio is unchanged at 278%
Key movements:
- The performance of consumer loans underwritten in 2018 has improved relative to previous expectations, and this has been reflected in a reduction in lifetime expected loss;
- The lifetime loss rate projection for loans written in 2019 has fallen to 3.4%;
- The improvements have been balanced out by a small increase in future loss rate expectations from non-consumer loans.
Please remember, at RateSetter the Provision Fund spreads the risk of each investment across the entire portfolio of loans. This means that your investment will perform in the same way, no matter which loans you are matched to.
