FinTech IPO Index Surges 4.9% as Open Lending Leads Platforms Higher | PYMNTS.com
Jan 31, 2025 - pymnts.com
The FinTech IPO Index rose by 4.9% this week, driven by strong performances from several platform companies. Open Lending led the gains with a 24.9% increase after an upgrade from Needham, followed by OneConnect with a 19.4% rise, and XP with over 14% growth, partly due to acquisition interest in Julius Bear's Brazilian unit. Affirm's shares increased by 9.5% following an expanded capital partnership with Liberty Mutual Investments, which will significantly boost its installment loan program. Robinhood's stock rose by 5.2% as it announced futures trading for bitcoin and other assets. Conversely, AMTD shares fell by 3.5% amid plans for a U.S. stock market listing, and Janover's shares dropped by 7.1% after launching AI search capabilities in its B2B SaaS marketplace.
SoFi's shares declined by 8.8% following its earnings report, despite a 15% year-over-year increase in technology platform accounts and a 34% rise in membership. The company reported strong lending performance with $23 billion in originations in 2024, up 33% from the previous year. Looking ahead, SoFi expects 2.8 million new member additions and at least 28% net revenue growth for the current year.
Key takeaways:
The FinTech IPO Index gained 4.9% this week, driven by strong performances from platforms like Open Lending, which saw a 24.9% increase.
SoFi shares dropped 8.8% following earnings, despite reporting significant growth in technology platform accounts and membership.
Robinhood's stock increased by 5.2% as it announced the launch of futures trading for bitcoin, the S&P, and oil.
AMTD shares fell by 3.5% after announcing a business combination agreement for a U.S. stock market listing valued at approximately $488 million.
