Lufax Explained

Shanghai Lujiazui International Financial Asset Exchange Co., Ltd.
Type:Public
Foundation:2011
Industry:Personal finance, Software
Location:Shanghai
China
Products:Financial services
Peer-to-peer lending
Homepage:lu.com

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]

External links

Notes and References

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