A Study Of Factors Influencing Financing Of Chinese P2P Market

As a new type of lending patterns,P2P network lending has attracted common attention in recent years.P2P market builds an exchange platform for small investors and borrowers.In addition, the emergence of P2P market network enrich people’s asset portfolio and support the real economy well.However.the successful rate of financing of P2P market is rather low,which do harm to the development of this industry.Investors make their investment decisions according to the borrowers basic information on the P2P market.Therefore, we can figure out the features of the behavior of both borrowers and lenders though the study of factors affecting the success rate of financing on P2P market,which will become a necessary precondition for the development of this industry.There is few empirical research on the behavior of both borrowers and lenders on P2P market in our country. In this paper,both theoretical study and empirical study are used. The theoretical study tries to find the direction of the development of P2P market in our country by the comparison between the foreign P2P market and the domestic P2P market and also make a foundation for the suggestions including the P2P platform and the outside supervision.The empirical study is based on the large amount of data come from Ppdai.com. This paper uses different methods to research the soft information and the hard information of borrowers.The study indicates that:firstly, the borrower’s gender has no effect on the success rate of financing, there is no gender discrimination on P2P platform; secondly, the borrower’s age and occupational status have significant effect on the success rate of financing;thirdly,the active degree on the platform, credit rating, the information transparency and the investment experience of borrowers will have significant impact on their success rate of financing. So borrowers can improve their success rate of financing on P2P platform through being more active,more transparent of personal information and improving their investment skills. At last,by the comprehensive analysis,the suggestions coming from the borrowers,the P2P platform and the regulatory agency are put forward.