The Federal Reserve Bank of Philadelphia released its Survey of Professional Forecasters today, which provides projections on a broad range of macroeconomic variables, including economic growth, inflation, and employment.
Panelists also responded to special questions about house prices using several measures, including the S&P/Case-Schiller home price index, the OFHEO purchase only index, and the OFHEO house price index. In addition, the panelists were asked to predict the specific quarter and year when house prices will stop declining. To see the survey results, go to:
The Federal Reserve Bank of Philadelphia helps formulate and implement monetary policy, supervises banks and bank holding companies, and provides financial services to depository institutions and the federal government. One of the 12 regional banks that, together with the Board of Governors in Washington, D.C., make up the Federal Reserve System, the Philadelphia Federal Reserve Bank serves eastern Pennsylvania, southern New Jersey, and Delaware.
Name: Marilyn Wimp
A 5K run in Las Vegas will benefit soldiers and their families battling financial struggles at home. Former soldier Randy Couture's nonprofit Xtreme Couture GI Foundation, and Fighters.com are part of the race on Saturday May 15, 2008.
Lincoln, NE (
Fighters.com is sponsoring The Xtreme Couture Operation Freedom 5k Run. The race is part of the Xtreme Couture GI Foundation's effort to raise money for troops who are in financial trouble as they fight in Iraq. The Xtreme Couture Operation Freedom 5k Run will be on Saturday, May 17 in Las Vegas, Nevada.
"This really hits a number of things with me and we are proud to be the premier title sponsor for this event," said Fighters.com President and CEO Jeremy Schoemaker. "I am a big fan of physical fitness. Also, the money from this race goes to help American troops who have suffered massive losses."
The race was organzied by the Xtreme Couture GI Foundation, which was founded by Randy Couture, current UFC Heavyweight Champion. Nicknamed "Captain America," Couture is a former soldier who served in the U.S. Army for six years. He later competed as an alternate on the U.S. Olympic wrestling team in 1988, 1992, 1996. Couture is ranked second on Fighters.com as "The Natural" (16-8).
Fight fans and military supporters to show their support by running with Couture. Schoemaker and the Fighters.com promo girls will be there to greet runners when it starts. They will be at the Centennial Hills YMCA in Las Vegas. The race begins at 8:00 AM, with registration beginning at 6:00 AM.
Registration cost is $45 before May 12 and $60 thereafter. To register online go to:
In March 2007, the 44-year old physical phenom returned from retirement to recapture the UFC heavyweight title in a five-round unanimous decision over fourth-ranked "Maine-iac" Tim Sylvia (24-4). In October 2007, Couture sent his "resignation" to the UFC, but is still considered co-champion by the promotion.
Fighters.com was founded by online marketer Jeremy Schoemaker to showcase UFC fights and personalities. Shoemaker owns several online companies and writes on the popular blog Shoemoney.com. Fighters.com premiered online April 1, 2008 and is the fastest growing online MMA community. Read more about Couture at
About Xtreme Couture GI Foundation
Xtreme Couture GI Foundation, a 501 (c) 3 non-profit corporation, was founded by former solider Randy Couture and his wife Kim. The foundation was formed to raise money and awareness for those wounded in action and their families.
The Foundation receives referrals from the Military Severely Injured Center for soldiers and families who are experiencing financial crises. The Foundation assists soldiers with house payments, bills, and helping discharged soldiers start their lives back home.
For more information, contact Alexa Wakefield at alexa(at)xtremecouture.tv or visit the Xtreme Couture G.I. Foundation's web site at
April 2008 Prosper People-to-People Lending Market Survey
Prosper’s People-to-People Lending Market
Survey results are released the second Tuesday of every month. To
register to automatically receive the survey, send an email with “SUBSCRIBE”
in the subject line to:
Market Commentary By Prosper Co-founder and Chief Executive Officer,
In April, we saw the supply of loan listings with an attractive
risk-return tradeoff hit an all time high and approximately double
compared to the prior month. At the end of March, the supply of loan
listings with an attractive risk-return tradeoff was approximately $5
million; and at the end of April the supply increased to approximately
$11 million and has remained at that level into May.
This significant increase in the supply of loan listings with an
attractive risk-return tradeoff is attributed to the fact that on April
15 we commenced our business arrangement with WebBank, a Utah-chartered
industrial bank. Through our agreement, all loans originated through the
Prosper marketplace resulting from listings posted on or after April 15,
2008 are made by WebBank under its bank charter. Prosper provides
services to WebBank in connection with the origination of such loans and
Prosper services loans made to Prosper borrowers on behalf of registered
Prosper lenders who purchase such loans. In effect, this partnership
opened the platform to more borrowers, who may have previously been
constrained by low state rate caps.
Also in April, we saw the supply of prime borrower listings hit an all
time high, accounting for nearly half of all loan listings in terms of
dollars requested. Prime borrower originations also reached its record
level of 43% of funded loans.
Currently, the significant increased supply of quality listings is
providing more attractive bidding opportunities, which is making it
easier for lenders to efficiently deploy more money onto the platform.
Mix of Funded Borrowers
Membership and Loan Volume Statistics
|Funded Loans ($)||$8.5 million||$8.7 million||$28.9 million||$28.3 million||$137.3 million|
|Funded Loans (Units)||1,305||1,091||4,379||4,145||21,699|
|Average Loan Size||$6,486||$7,956||$6,607||$6,824||$6,326|
|Daily Average Number of Borrower Listings||2,744||2,001||2,333||1,866||1,665|
Estimated Annual Return on Prosper Select Index
|Prosper Select Index||8.84%|
|Prime Select Index||8.90%|
|Near Prime Select Index||8.65%|
|Sub Prime Select Index||11.56%|
Average Borrower Rates on Prosper Select Loans
|Prime Select Loans||9.82%||9.86%||10.44%||9.96%||9.88%||10.04%|
|Near Prime Select Loans||15.05%||15.52%||15.46%||15.91%||14.96%||16.04%|
|Sub Prime Select Loans||25.00%||35.00%||25.29%||28.88%||22.60%||24.17%|
Attractive Risk-Return Tradeoff:
For purposes of this survey release, listings are considered to have
attractive returns if, based on historical loan repayment performance of
Prosper borrowers with similar characteristics, they are priced
sufficiently to compensate lenders for risk. Risk includes both the risk
of non-payment by the borrower and other risks associated with
people-to-people lending. In general, as the credit quality of the
borrower declines, the range of possible returns widens, requiring a
larger risk premium to compensate the additional uncertainty. The amount
of risk premium required to compensate for a given level of risk is a
subjective judgment. The following formula is used by Prosper to
determine if a listing is priced adequately to have an attractive risk
adjusted return: Maximum Borrower Rate >
Risk Free Rate1 + 3.25% + (Expected Annual
Default * 1.5) + Prosper Servicing Fee. All lenders should make there
own judgments with respect to what constitutes an adequately priced
1 Risk Free Rate = 2-year CD national rate on
Since Inception: November 1, 2005
through April 30, 2008. Prosper’s by
invitation only “friends and family”
launch began on November 1, 2005 and Prosper launched to the general
public on February 13, 2006.
2008 Year-to-Date: January 1, 2008
through April 30, 2008.
2007 Year-to-Date: January 1, 2007
through April 30, 2007.
Prosper Select Index: The Prosper
Select Index return is the estimated average annual return on principal,
based on actual delinquency performance to date. The Prosper Select
Index includes AA - E credit grade loans for borrowers whose credit
reports at the time of application indicated zero current delinquencies,
three or fewer credit inquiries, and a debt-to-income ratio of 40
percent or less. The annual return period reflects loans originated in
the twelve month period ending one month prior to the observation date
of April 30, 2008. Prime Select includes AA and A credit grade loans
(credit scores of 720+). Near Prime Select includes B, C, D credit grade
loans (credit scores between 600 and 719). Sub Prime Select includes E
credit grade loans (credit scores between 560 and 599).
Average Borrower Rates: Average
Borrower Rates are the weighted average borrower rates on Prosper Select
Index loans with loan amounts between $5,000 and $10,000. Rates shown
are interest rates, not annual percentage rates.
Mix of Funded Borrowers: Prime
includes all AA and A credit grade loans (credit scores of 720+). Near
Prime includes all B, C, D credit grade loans (credit scores between 600
and 719). Sub Prime includes all E and HR credit grade loans (credit
scores below 600).
America's largest people-to-people lending marketplace, was created to
make consumer lending more financially and socially rewarding for
everyone. Prosper’s membership consists of
over 700,000 people from across the country. Since launching in February
2006, over $140 million in loans have been funded in the marketplace.
The way Prosper works is intuitive to people who have used eBay. Instead
of listing and bidding on items, people list and bid on loans using
Prosper's online auction platform. People who want to borrow on Prosper
create loan listings for up to $25,000 and set the maximum rate they are
willing to pay a lender. People who register as Prosper lenders set the
minimum interest rate they are willing to earn and bid in increments of
$50 to $25,000 on loan listings they select. In addition to criteria
commonly used by institutional lenders, such as credit scores and
histories, Prosper lenders can consider borrowers' personal stories,
endorsements from friends, and group affiliations. Once the auction
ends, Prosper takes the bids with the lowest rates and combines them
into one simple loan to the borrower. Prosper handles all on-going loan
administration tasks including loan repayment and collections on behalf
of the matched borrowers and lenders.
Prosper was co-founded by Chris Larsen, co-founder of E-LOAN, and John
Witchel, technology entrepreneur. Backed by Accel Partners, Benchmark
Capital, DAG Ventures, Fidelity Ventures, Meritech Capital, and Omidyar
Network, Prosper has raised approximately $40 million. Prosper's
marketplace platform is patent pending.