Lufax

Lufax, full name Shanghai Lujiazui International Financial Asset Exchange Co., Ltd., is an online Internet finance marketplace headquartered in Lujiazui, Shanghai.[1][2] Founded in 2011, it is an associate of China Ping An Group.[3]

The company was founded in September 2011,[4] and started with P2P lending as the only service. It is the second largest peer-to-peer lender in China.[5] Now the company is said to be branching out their business gradually, becoming a much broader platform that work together with funds, insurance companies and financial license holders.[6] The platform makes money by matching borrowers with investors, collecting a 4% fee on each loan. Since the start of the business, the company has arranged more than 200,000 peer-to-peer loans that worth a total of $2.5 billion.[7]

By 2015, Ping An Insurance (Group) Co. owns 43% of the company. On the surface Lufax is a part of Ping An Group, and maintains a good relationship with the Chinese government.[8]

References

  1. Lufax. About Us^
  2. Company Overview of Shanghai Lujiazui International Financial Asset Exchange Co., Ltd. Bloomberg.com, April 7, 2014^
  3. Jason Jones. The Most Important Chinese P2P Lending Companies Lend Academy, May 4, 2014^
  4. Kwong Man-ki. Mainland China's peer-to-peer pioneer lauds big innovation for a big place South China Morning Post China, April 12, 2015^
  5. Paul Schulte. 3 Reasons to Buy China Barron's, April 7, 2015^
  6. Kwong Man-ki. Lufax rides internet finance boom South China Morning Post, April 12, 2015^
  7. Rick Carew and Telis Demos. China's Lufax Valued at Nearly $10 Billion in Recent Funding Round The Wall Street Journal, April 16, 2015^
  8. Zeke Faux. Most Chinese Peer-to-Peer Lenders Will Fail, Lufax's Gibb Says Bloomberg Business, April 15, 2015^