Aspiring Women P2P Loan Product
Investment Objective:
- The product attempts to generate superior risk adjusted returns by focusing exclusively on women borrowers.
- It presents a unique feature for lenders to invest passively in a mix of borrowers thereby diversifying risks without compromising on returns.
Product Riskometer:
This product is suitable for lenders who are willing to:
- Invest specifically in women borrowers
- Take moderate risk
Standard Exclusions:
Following borrowers are excluded from this product:
- Selected high risk profiles
- Poor credit bureau score or recent defaults
- Non-residents Indian
- Age less than 21 years or more than 55 years
- Borrowers without KYC documents
Product Performance Trend:
Women borrowers have delivered superior net returns (post default) consistently over the last 5 qtrs.
Released from January 2018
Presenting the "Aspiring Women" P2P Loan Product:
Our historical data clearly suggests that women borrowers are financially more disciplined. Hence, they make lucrative asset class for lenders to invest. Currently, approximately 10-20% of borrowers funded on our platform are women.
Product Summary:
- Minimum investment amount is ₹30,000/-
- Maximum investment amount is ₹10,00,000/-
To mitigate investor’s overall risk, Faircent will deploy this investment into various risk categories as follows. Also, investment per borrower will be limited to ₹1,500/- to ₹10,000/- depending on the borrower risk category.
| Minimal Risk | Low Risk | Medium Risk | High Risk | V. High risk | Unrated | |
| Distribution of investment | 0-10% | 10-25% | 10-30% | 10-25% | 5-15% | 0-10% |
Lock-in and Re-investment option:
The repayments from this product will be automatically re-invested for a period of 12 months and cannot be withdrawn for 12 months. Post 12 months, you have an option to continue re-investment or make monthly withdrawals.
Investment simulation:
₹ 1 lakh invested in this product will deliver the following returns over 18 to 24 months.
| Highest return% over last 5 qrtrs | Avg. return% over last 5 qrtrs | Lowest return% over last 5 qrtrs |
| ₹1,39,500/- | ₹1,34,000/- | ₹1,30,500/- |
Fees & charges:
| Investment fees | 1% of the investment amount |
| Collection / recovery fees | As per terms on Faircent.com |
Product Distribution:
Below charts give the distribution of all women borrowers on the platform on their bureau scores (based on their loan repayment history), their monthly income & their monthly fixed obligation to income ratio.
