2014On the afternoon of June 28,，"2014 Cross-Strait and Three Places P2P Online Lending Industry Summit Forum" was grandly held at the Friendship Hall of Shanghai Convention and Exhibition Center。Ms. Zhang Zhengfen, the founding partner of Bubu Liandai, a P2P platform from Hong Kong, was invited to attend and delivered a keynote speech.，In her speech, she mainly introduced the development of the P2P industry in Hong Kong.。The following is a transcript of her speech：Hello everyone，I am Zhang Zhengfen, co-founder of Hong Kong P2P platform Bubu Liandai。
I am very honored to be invited by P2P Online Loan Home to participate in today’s 800-person cross-strait and three-region P2P online lending industry summit forum.，Introducing the development of Hong Kong’s P2P industry，As practitioners, we，The perspective may be a bit more microscopic.。
I will simply share with you the following aspects:：I. Hong Kong’s financial industry regulatory system II. Analysis of the macro environment and advantages and disadvantages of P2P development in Hong Kong III. Introduction to the only two P2P platforms currently in Hong Kong. The entire financial industry in Hong Kong is generally divided into three parts.，The first part is authorized institutions regulated by the Banking Ordinance，Also known as the banking industry。
There are three levels of accreditation institutions in Hong Kong，licensed bank，Restricted license banks and deposit-taking companies。The second part consists of 9 types of regulated businesses regulated by the Securities and Futures Ordinance，Contains stocks，futures，Forex，Trading of various derivatives and other securities。The third part is most closely related to our P2P，Money lending business regulated by the Money Lenders Ordinance。
The money lender here refers to the legal entity，Hong Kong stipulates that only licensed money lenders can engage in money lending business。Licenses must be reviewed and renewed every year，Only licensed companies that have no violations or excessive complaints during the operating year will be renewed.。Hong Kong’s regulations on loan interest rates are as follows:：48%Annual interest rates below are legal，60%The above is illegal，And between 48% and 60%，We have to look at each specific case.，Subject to the judge’s decision。
Next, let’s talk about the macro-environment of P2P development in Hong Kong.。Speaking of Hong Kong, you may think that Hong Kong is a small place.，Not much population，Does P2P have little potential?。actually，We believe that Hong Kong still has great potential for P2P development.。Hong Kong's economy is very developed，GDP per capita is almost 6 times the mainland average。We think this is a positive。
can be seen，Many first-line P2P platforms in the mainland transport funds from developed areas in the east to areas in need of funds in the west.。Economically developed，Hong Kong, which is far ahead in per capita GDP, is very important for P2P development.，Whether it is in terms of the number of investors or the amount invested by a single investor，It will be a powerful market no less powerful than Beijing, Shanghai, Guangzhou and Shenzhen.。Let’s take another look at Hong Kong’s interest rate environment，The table we are seeing now is a regular interest rate table provided by different banks。
we can see，HSBC’s 6-month time deposit only gives 0.05% interest。This interest is far from covering the various debts we give to the bank.
cost
。It can be said with certainty，If the money in your account is less than 1 million，Then there will definitely become fewer and fewer banks in Hong Kong.，This also indirectly contributed to the prosperity of Hong Kong's financial market.。
Whether it's a bond，stock，turbine，Or gold futures，High leverage foreign exchange margin trading，Even lottery and horse racing can find a market in Hong Kong。despite this，Hong Kong’s savings rate is still very high globally。Based on the above，This low-interest environment is very important for the development of P2P，We think it’s also a benefit，Investors’ willingness to invest will be relatively high，And there is a lot of money to invest。
The above analysis is based on investors，Let’s analyze the borrower’s side。The chart above shows a comparison of Hong Kong’s debt scale with other developed countries.。Hong Kong’s private debt accounts for 60% of GDP，On par with developed European countries。
But actually，Because our data is from central banks of various countries.，Due to different statistical calibers，Hong Kong only takes the loan volume of three authorized institutions regulated by the Banking Ordinance，Does not include the loan volume of many finance companies regulated by the Money Lenders Ordinance。In other countries, loan volumes cover a wider range of，So in fact Hong Kong’s private debt to GDP ratio is higher than 60%。
In private debt category，Residential loans accounted for 74%，nearly three quarters，Another important factor is the repayment purpose of credit cards.，Accounts for 8% of total private debt，Therefore, many financial companies will provide a card clearing service.。Because the overdraft interest on bank credit cards is close to 40%，Many financial companies use slightly lower interest rates to help users pay off their credit cards.，Transferred credit card debt to a finance company。
To sum up，Hong Kong’s high debt situation is really good news for the development of P2P debt.。
Analyzed macro GDP，low interest rate environment，After high debt scale，Let’s talk about the development of P2P in Hong Kong
Advantages
，We also have to talk about Hong Kong’s credit reporting and legal system.，Compared with the mainland, Hong Kong’s credit reporting system is relatively complete.，There is only one recognized credit reporting company，TransUnion Information Co., Ltd.，It is a for-profit company that operates on a corporate model，Their data volume is considerable，Contains credit records of 4.7 million consumers。
Each of us can pay to check our own credit records，It contains details of all changed personal information.，All past credit history，Repayment time，Public bankruptcy records and more。I checked my own credit report myself，Although it has only been less than 4 years since I returned to Hong Kong to work，However, my credit report is already 10 pages long.。Every report has a credit score，from A to J,Worse in turn。
The influence of this system is relatively large，Banking institutions will use，Financial institutions also use，Many merchants and shops，Government agencies will use。This credit score greatly facilitates credit analysis by banks or financial companies.，Allows them to use credit scores to set up an automated initial screening process。obviously，The entire credit system is definitely a strong support for the development of P2P in Hong Kong。certainly，A stronger support is Hong Kong’s legal environment。
A perfect legal environment is a great guarantee for the development of P2P，Mortgage on all properties、The processes such as repossession and auction are relatively transparent.，Its coercion and execution efficiency are also temporarily unmatched by the mainland.，This greatly protects the legitimate rights and interests of the lender。After analyzing the development of P2P in Hong Kong, so many
Advantages
after，Let’s look at the disadvantages again。There are currently only two P2P companies in Hong Kong，There are definitely limitations。
First of all, the Internet in Hong Kong is not that developed.，After the dot-com bubble economy in early 2000，Many consortiums have withdrawn their investments，As a result, the development of the Internet in Hong Kong has been very slow in the past 10 years.。
Although Hong Kong’s Internet infrastructure is very advanced,，There are WIFI hotspots everywhere，Unlimited traffic plans are very common，However，Hong Kong still lacks leading Internet companies，There is no particularly developed e-commerce，There is also a lack of new industries that have emerged based on the combination of the Internet and traditional industries.，Such as Internet finance。Internet genes are not strong enough，This will be a relatively big challenge to the development of the entire P2P industry in Hong Kong.。
except the internet，Another limitation is supervision。Hong Kong stipulates that you cannot operate money lending business in Hong Kong without a money lender's license.，This will also be a threshold，This threshold is not just the license itself，It is also the impact of the business model behind it.。However，Behind the challenges are more opportunities。P2P is developing rapidly in the United States, Europe, and especially in mainland China.，we have reason to believe，Hong Kong will not be an exception。
The last part will introduce to you the only two P2P platforms in Hong Kong.。The first Welab was established in August 2013 and was the first P2P platform in Hong Kong.，In the 10 months since its establishment, it has arranged loan applications of HKD 400 million.，According to public information，Welab’s current pure credit loan model，The upper limit for each loan is NT$300,000，The approval rate is 15 to 20%。
2014June 16，Welab acquires companies including TOM Group(02383-HK)and Sequoia Capital, a U.S. Silicon Valley venture capital firm, invested in，Total capital injection of US$14 million(Approximately HK$109 million)。Bubu Liandai is the second P2P platform in Hong Kong，2013Established in early December，Our model is quite different from Welab。
Welab currently matches "Gao Fu Shuai"(Contributions from wealthy institutional shareholders)and credit loan applicants，What we have matched are many individual ordinary investors and lenders with property mortgages in Hong Kong.。Hong Kong，We will work with established financial companies in Hong Kong(Similar to mainland small loan companies)Collaborate to develop business，Let professional people do professional things，And we focus on building this matching platform。
At the same time, we are also developing investment products for the mainland.，Excellent small and medium-sized enterprise loan projects guaranteed by financing guarantee companies，Giving investors in Hong Kong options。From a product perspective，We are the only P2P platform in Hong Kong that is linked to China and Hong Kong.。It is worth mentioning that our talented team is full of passion and dares to venture into。
Each of the founding team graduated from prestigious schools，Have overseas study and work experience，Worked at BNP Paribas、Societe Generale、HSBC、King & Wood Mallesons、Tencent、Yihai Kerry and other Fortune 500 companies，And industry elites who have passed the Hong Kong Talent Introduction Program。By the way，Jack Ma is also a talented person in Hong Kong，We hope to have the opportunity to cooperate with him and contribute to the prosperity and development of Hong Kong's Internet finance.。
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