Mintos, a European peer to peer (P2P) consumer lender, has reportedly made changes to its auto-invest product, in order to give investors more choices when it comes to the level of risk they’d like to take.
Mintos allows investors to back loans from originators via its P2P marketplace. It will now be providing three different automated portfolios, as part of its Mintos Strategies product, instead of only one product offering.
The consumer lending platform will be providing a conservative strategy that will focus on investing in the highest or top-rated loans, which will essentially be a diversified version that will back loans with an A+ to C- rating. There will also be options that involve more risk, but then also offer higher yields.
All of Mintos’ automated portfolios will have a maximum 15% exposure in each firm or business and will also come with a buyback guarantee, provided that there’s adequate demand on the platform. Mintos said the investment strategies will only be offered in euros.
The P2P lender claims that half or around 50% of its active investors are using the automated portfolio since they were introduced earlier this year.
Mintos’ management wrote in a blog post:
“To further improve our product offering, we listened and analysed investor behaviour, and one common theme emerged, investors wanted more choice when it came to investing preferences.”
“New investors will be able to get started quickly with a diversified portfolio according to their chosen profile. Experienced investors can use this opportunity to reduce the complexity of running multiple custom strategies.”
As covered recently, Mintos reported a record year for new investors and platform lending. Mintos has operations across Europe as well as Africa, Asia and the Americas.
The P2P lender revealed that it financed €2.8 billion in loans via its consumer lending platform. Mintos claims that this amount is more than all its previous years combined, since it began offering services in 2015.