The Reputation Research Of P2P Network Lending Platform Based On Factor Analysis

In recent years, internet banking is showing a booming trend, creating a new business and profit model of financial sector model, P2P network lending is the rise of a new business model in this context. It refers to the lending process, information dissemination, material filling and disclosure, fund transfers, contract and other parts or all of the process of networked lending transactions. This pattern consists of P2P lending, net borrowing both combine to form, with the realization of the basic financial market financing function. In 2005,the world’s first website lending platform Zopa was founded in London, later got popular in the United States and Europe, as a new lending practices, P2P lending network has high efficiency and convenient mode of operation and personalized Interest Rate mechanism to save the cost of borrowing, to achieve mutual benefit of both parties, a launch would receive wide attention and recognition, and quickly replicated in other countries. Success of the overseas network lending platform, allowing domestic P2P net loan platform also began to sprout in 2006, but this pure credit and zero guarantee mode did not find a suitable growing soil at first in China. Until 2011, China appeared monetary tightening and property sluggish economic conditions, resulting in the double financial difficulties of a small bank loan size and investor’s low returns, plus this time P2P net loan model has been a local five years innovation in China. So at this time the financial difficulties is "environmentally appropriate" for this new innovative financial model of P2P net loan.it has been developing rapidly by the widespread attention and recognition. As of 2012, the number of platforms has reached 1575. However, while booming, "foot", "fail", "mention is difficult" and so many questions filled the P2P industry, it impact investor’s confidence. How to objectively evaluate the credibility of the P2P network lending platform, to promote sound and rapid development of platform and as both lenders and borrowers better screening platform has great significance, and this is the main purpose of this studyFirstly, based on the collection of existing P2P network lending literature of home and abroad, from the platform operating characteristics, operation mode, behavior, regulatory, measures of five angles to organize and review of the literature, proposed research ideas, measures of five angles to organize and review of the literature, proposed research ideas, innovation and the insufficiency of this article. Then the theoretical analysis of network lending accurately define the concept of the credibility of Internet banking, borrowing P2P networks,and analyzes the factors that characterize the credibility of the network lending platform, that platform popularity, platform financial strength, the platform’s operations team, platform’s operators time, platform’s information disclosure, platform’s security; and then went to general analysis of the credibility of the construction of P2P network lending platform, including the status credibility building, the problems, the credibility of the construction of Chinese-style evolution. Finally, Finally, based the industry Web site of network lending platform disclosd index rating method, built a comprehensive evaluation system of comprising 10 P2P network lending platform constructed indicators, respectively reflect the interest management fees of P2P network lending platform own revenue, the average interest rate of investor’s income; reflect platfor’s operational capabilities of financial leverage, operating hours; average borrowings total and the top ten borrowers also amount to be accounted for reflect the degree of concentration of investment funds,; number of borrowers, the number of investment, transactions volume and time-weighted volume reflect the platform scale; on the basis of constructing the index system, in order to make the paper more profound significance, we selected the establish’s time more than two years of large-scale, high popularity of the most representative sample of 24 as a research platform samples. In the process of empirical analysis, firstly, using factor analysis concentrated reflecting the platform credibility of the three principal components factor, then using cluster analysis did cluster analysis of the results of the factor scores, Finally, we observe the empirical output, finding sample platform overall credibility is not high. At the end of the paper recommendations for reputation building our network lending platform and investor behavior choice based on the results of theoretical and empirical analysis.