Pagaya, a global financial technology company using artificial intelligence (AI) to reshape asset management, today announced the closing of a consumer credit asset-backed security (ABS) at $115 million. Led by structuring agent Cantor Fitzgerald, the ABS will be actively managed by Pagaya’s AI.
This transaction is Pagaya’s largest to-date and the third in just six months, bringing Pagaya’s total assets under management to over $750 million. Pagaya continues to evaluate and expand the number of platforms that can access the firm’s PAID shelf, partnering with Prosper Marketplace for this transaction. Pagaya has been working closely with Prosper to develop innovative financing solutions for consumers, which will be featured in this securitization.
“As a long-term partner of Pagaya, we appreciate their ability to bring more investors into the consumer credit space,” said John Goldston, Vice President of Capital Markets at Prosper Marketplace. “We are excited to continue working alongside Pagaya to unlock new opportunities to connect people who want to borrow money with institutions that want to invest in consumer credit.”
The cadence of Pagaya’s ABS transactions demonstrates a growing market demand for the unique structure and active management Pagaya can offer, made possible by its AI. Pagaya’s AI analyzes millions of data points to select and purchase individual loans instead of securitizing a pool of previously assembled assets. This data-driven, in-depth analysis unlocks more low-risk opportunities for institutional investors.
Pagaya is a financial technology company reshaping asset management using machine learning and big data analytics to manage institutional money. With a focus on fixed income and alternative credit, Pagaya offers a variety of discretionary funds to institutional investors, including pension funds, insurance companies, and banks. Pagaya’s unique technology platform, Pagaya Pulse, runs on a suite of artificial intelligence technologies and state-of-the-art algorithms to deliver a high and scalable performance edge consistently. The company was founded in 2016 by seasoned finance and technology professionals with offices in New York and Tel Aviv.