LENDX Fund Sees Surge in Redemption Requests
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 18 2026
0mins
Source: seekingalpha
- Surge in Redemption Requests: According to media reports, Stone Ridge Asset Management informed clients that redemption requests for the LENDX fund surged, allowing only 11% of requested amounts to be redeemed, indicating broadening concerns about private credit.
- Asset Overview: As of the end of November, LENDX held $2.4 billion in total assets and $1.6 billion in net assets, suggesting challenges in asset management amid market volatility.
- Investor Confidence Eroding: The increase in redemption requests has shaken investor confidence in fintech loans from companies like Affirm and Block, reflecting escalating worries about consumer credit.
- Redemption Mechanism Constraints: As an interval fund, LENDX is required to repurchase at least 5% of outstanding shares each quarter, necessitating investors to submit redemption requests to exit their investments, further limiting liquidity.
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Analyst Views on LC
Wall Street analysts forecast LC stock price to rise
9 Analyst Rating
8 Buy
1 Hold
0 Sell
Strong Buy
Current: 18.390
Low
20.00
Averages
23.00
High
26.00
Current: 18.390
Low
20.00
Averages
23.00
High
26.00
About LC
LendingClub Corporation is a bank holding company. The Company operates its business through its subsidiary, LendingClub Bank, National Association (LC Bank). LC Bank is the digital marketplace bank that leverages data and technology to increase access to credit, reduce borrowing costs, and improve returns on savings for its members. Its primary loan products include personal loans, major purchase finance, and auto refinance. LC Bank’s commercial lending business is primarily focused on small businesses, and it participates in the United States small business administration lending programs. Its deposit business includes sourcing deposits directly from customers and from third-party marketing channels and deposit brokers. It offers a range of insured deposit products, including high-yield savings accounts, checking accounts, and certificates of deposit (CDs). Its consumer loans are either retained by LC Bank or sold to marketplace investors through its proprietary loan marketplace.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Executive Stock Sale: LendingClub's CFO Andrew LaBenne sold 20,000 shares on May 28, 2026, for approximately $340,000, reflecting confidence in the company's ongoing growth trajectory.
- Ownership Impact: This transaction reduced LaBenne's direct ownership by 7.84%, yet he retains 234,955 shares valued at around $4 million, indicating his continued optimism about the company's long-term prospects.
- Trading Plan Context: The sale was executed under a pre-established Rule 10b5-1 trading plan, suggesting that this action is routine portfolio management rather than a discretionary sell-off, which alleviates market concerns regarding insider trading motives.
- Company Performance Highlights: LendingClub reported a 31% year-over-year increase in loan originations to $2.7 billion and a 16% rise in revenue to $252.3 million in Q1 2026, demonstrating positive momentum and the successful expansion into new revenue streams.
See More
LendingClub CFO Sells 20,000 Shares Amid Strong Q1 Performance
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- Trading Plan Context: The sale was executed under a Rule 10b5-1 trading plan, designed to prevent accusations of insider trading, and LaBenne retains over 200,000 shares, reflecting his ongoing confidence in the company's prospects.
- Strong Q1 Performance: LendingClub reported a robust Q1 with loan originations increasing by 31% year-over-year to $2.7 billion and revenue rising 16% to $252.3 million, highlighting the company's growth trajectory in digital financial services.
- Strategic Shift: The company plans to rebrand as Happen Bank and has begun underwriting home improvement loans, creating new revenue streams, which signifies a strategic pivot aimed at adapting to market demands and enhancing competitiveness.
See More
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- Historical Trading Pattern: This sale aligns with LaBenne's established pattern of periodic open-market sales, having disposed of a total of 58,858 shares since July 2025, with the current sale size closely matching previous transactions of 17,955 and 20,903 shares, reflecting a consistent trading strategy.
- Trading Plan Context: The transaction was executed under a pre-established Rule 10b5-1 trading plan, suggesting that this activity is routine portfolio management rather than discretionary selling, which alleviates concerns regarding insider trading motives.
- Company Performance Insights: LendingClub reported a 31% year-over-year increase in loan originations to $2.7 billion and a 16% revenue growth to $252.3 million in Q1 2026, indicating strong operational performance and the potential for new revenue streams, such as home improvement loans, enhancing its competitive position in the market.
See More
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- Rate Expectation Shifts: The CME Group's FedWatch indicates nearly a 50% likelihood of a Fed rate hike in December, causing savers to feel uneasy about future rate trends, which impacts yields on cash instruments.
- Rising Bank Deposit Rates: Bread Financial has raised its 1-year CD annual percentage yield to 4%, an increase of 15 basis points from the previous week, driven by loan growth and rate expectations, attracting more savers' attention.
- Short-Term Cash Investment Appeal: While current CD rates, such as Popular Direct's 12-month CD offering 4.11%, are attractive, analysts warn that these yields may not keep pace with inflation long-term and could adjust upon maturity, affecting investors' return expectations.
See More
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See More
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- LendingClub's Financial Performance: LendingClub generated nearly $1.3 billion in revenue for FY 2025, with a growth rate of about 15% and a net income of roughly $135.7 million, indicating effective cost management amidst interest rate fluctuations and demonstrating stable profitability.
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- Valuation Comparison: Upstart trades at a forward P/E of 12.5x, indicating optimistic market expectations for future growth, while LendingClub's 9.1x P/E reflects a more conservative market position, suggesting investors should choose based on their risk tolerance.
See More
LendingClub CFO Sells 20,000 Shares Amid Strong Performance
- Executive Stock Sale: LendingClub's CFO Andrew LaBenne sold 20,000 shares on May 28, 2026, for approximately $340,000, reflecting confidence in the company's ongoing growth trajectory.
- Ownership Impact: This transaction reduced LaBenne's direct ownership by 7.84%, yet he retains 234,955 shares valued at around $4 million, indicating his continued optimism about the company's long-term prospects.
- Trading Plan Context: The sale was executed under a pre-established Rule 10b5-1 trading plan, suggesting that this action is routine portfolio management rather than a discretionary sell-off, which alleviates market concerns regarding insider trading motives.
- Company Performance Highlights: LendingClub reported a 31% year-over-year increase in loan originations to $2.7 billion and a 16% rise in revenue to $252.3 million in Q1 2026, demonstrating positive momentum and the successful expansion into new revenue streams.
See More
LendingClub CFO Sells 20,000 Shares Amid Strong Q1 Performance
- Insider Selling: LendingClub's CFO Andrew LaBenne sold 20,000 shares on May 28, 2026, for approximately $340,000 at $17 per share, representing 7.84% of his direct holdings, indicating a notable insider transaction.
- Trading Plan Context: The sale was executed under a Rule 10b5-1 trading plan, designed to prevent accusations of insider trading, and LaBenne retains over 200,000 shares, reflecting his ongoing confidence in the company's prospects.
- Strong Q1 Performance: LendingClub reported a robust Q1 with loan originations increasing by 31% year-over-year to $2.7 billion and revenue rising 16% to $252.3 million, highlighting the company's growth trajectory in digital financial services.
- Strategic Shift: The company plans to rebrand as Happen Bank and has begun underwriting home improvement loans, creating new revenue streams, which signifies a strategic pivot aimed at adapting to market demands and enhancing competitiveness.
See More
LendingClub CFO Sells 20,000 Shares: Implications for Investors
- Transaction Overview: On May 28, 2026, LendingClub's CFO Andrew LaBenne sold 20,000 shares of common stock for approximately $340,000, retaining 234,955 shares post-transaction valued at around $4 million, indicating he still holds a significant economic stake in the company.
- Historical Trading Pattern: This sale aligns with LaBenne's established pattern of periodic open-market sales, having disposed of a total of 58,858 shares since July 2025, with the current sale size closely matching previous transactions of 17,955 and 20,903 shares, reflecting a consistent trading strategy.
- Trading Plan Context: The transaction was executed under a pre-established Rule 10b5-1 trading plan, suggesting that this activity is routine portfolio management rather than discretionary selling, which alleviates concerns regarding insider trading motives.
- Company Performance Insights: LendingClub reported a 31% year-over-year increase in loan originations to $2.7 billion and a 16% revenue growth to $252.3 million in Q1 2026, indicating strong operational performance and the potential for new revenue streams, such as home improvement loans, enhancing its competitive position in the market.
See More
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- Inflation Pressure Intensifies: According to AAA, the current national average gasoline price stands at $4.459 per gallon, up from $3.174 a year ago, reflecting the ongoing impact of the Iran war on fuel prices, which exacerbates consumer living costs.
- Rate Expectation Shifts: The CME Group's FedWatch indicates nearly a 50% likelihood of a Fed rate hike in December, causing savers to feel uneasy about future rate trends, which impacts yields on cash instruments.
- Rising Bank Deposit Rates: Bread Financial has raised its 1-year CD annual percentage yield to 4%, an increase of 15 basis points from the previous week, driven by loan growth and rate expectations, attracting more savers' attention.
- Short-Term Cash Investment Appeal: While current CD rates, such as Popular Direct's 12-month CD offering 4.11%, are attractive, analysts warn that these yields may not keep pace with inflation long-term and could adjust upon maturity, affecting investors' return expectations.
See More
Financial Comparison of Upstart and LendingClub
- Upstart's Financial Recovery: In FY 2025, Upstart achieved approximately $1.1 billion in revenue, reflecting a nearly 58.9% year-over-year growth, alongside a net income of $53.6 million, marking a return to profitability after significant losses in 2024, showcasing its robust recovery in the digital lending market.
- LendingClub's Stable Performance: LendingClub generated nearly $1.3 billion in revenue for FY 2025, representing a growth rate of about 15%, with a net income of approximately $135.7 million and a net margin of 10.2%, demonstrating its effective management of interest costs and enhancing its market position in the competitive fintech landscape.
- Risks and Challenges: Upstart faces risks from fluctuating economic conditions that may reduce borrower demand, particularly during recessions, where its AI models might fail to accurately predict defaults, potentially leading to funding pullbacks from lending partners and impacting business stability.
- Market Competition Dynamics: As a digital bank, LendingClub funds a portion of its loans using low-cost member deposits, which, despite challenges from interest rate volatility and regulatory changes, allows it to maintain an advantage over traditional banks due to its stable revenue model.
See More
Upstart and LendingClub Compete in Digital Lending Market
- Upstart's Business Model: Upstart connects borrowers with banking partners through an AI marketplace, achieving approximately $1.1 billion in revenue for FY 2025, reflecting a robust 58.9% growth, although it faces customer concentration risk with its top three partners contributing 61% of total revenue.
- LendingClub's Financial Performance: LendingClub generated nearly $1.3 billion in revenue for FY 2025, with a growth rate of about 15% and a net income of roughly $135.7 million, indicating effective cost management amidst interest rate fluctuations and demonstrating stable profitability.
- Risk Analysis: Upstart is exposed to risks from economic fluctuations that could reduce borrower demand, and if its AI models fail during a recession, it may see partner pullbacks, while LendingClub faces threats from interest rate volatility and regulatory changes that could impact its core product profitability.
- Valuation Comparison: Upstart trades at a forward P/E of 12.5x, indicating optimistic market expectations for future growth, while LendingClub's 9.1x P/E reflects a more conservative market position, suggesting investors should choose based on their risk tolerance.
See More
