Asset-based lending grew modestly in the second quarter for banks and more significantly for other lenders, according to the Secured Finance Network’s Asset-Based Lending Index and SFNet Confidence Index.
The asset-based lending industry did not experience the dramatic first quarter bump evident in the broader U.S. economy, but it still grew and so did lenders’ confidence in the market, according to data released by the Secured Finance Network.
According to cumulative data for 2020 published in SFNet’s Annual Asset-Based Lending Survey, the $273.9 billion in total credit commitments by asset-based lenders in 2020 increased just 2% compared with the $268.6 billion in total credit commitments recorded for 2019.
According to SFNet, total commitments for bank lenders in Q1/20 rose 7.8% compared with Q1/19 but were relatively flat compared with Q4/19. For non-bank lenders, total commitments rose 15.2% compared with Q1/19 but fell 1.8% compared with Q4/19.
According to data from SFNet, lenders reported asset-based lending to U.S. businesses increased steadily and credit quality remained strong in Q4/19, but the unfolding COVID-19 pandemic is having an unprecedented impact on financial markets.
The Commercial Finance Association Education Foundation released the findings of a comprehensive study of the scope and impact of the secured commercial finance market in the U.S.
Commercial Finance Association Announces Name Change Seventy-Four-Year-Old Trade Association Rebranding as Secured Finance Network
During its 74th Annual Convention in San Diego, the Commercial Finance Association announced it will rebrand in 2019 as Secured Finance Network.