Study: Optimism Returns to U.S. Asset & Auto Finance Market

According to a study of the U.S. asset and auto finance industry by White Clarke Group, after what has been a catastrophic few years for the industry worldwide, the U.S. reports strong growth from all sectors – independents, captives and banks.

The study showed a second consecutive annual rise in new business volume, a welcome acceleration over the increase of 3.9% in 2010, which had followed a severe decline of over 30% in 2009, WCG said

Of the $94.9 billion new business contracts booked in 2011, banks took just over half ($47.9 billion), captive companies took 31% ($29.6 billion) and independent lessors took 18% ($17.4 billion). The greatest rate of increase was for independents (+19.7%), closely followed by banks (+19.3%) and then captives (+10.5%). The medium-ticket sector enjoyed the greatest rate of growth at 15.2%.

WCG’s report also looks at:

•The leasing industry in the U.S.
•Recent new business
•Insiders’ views of the industry
•Challenges faced by the market
•Growth prospects
•Market segment performance
•Sector prospects
•Lease accounting: “Don’t hold your breath”
•Developing the industry
•Expansion – internal or cross-border
•Floorplan financing once again on the move
•The U.S. view of the Lease Accounting Standards Project
•U.S. tax and regulatory environment for leasing

“This latest Country Report is the tenth to be published by White Clarke Group,” said Brendan Gleeson, global sales & marketing director. “The dominance and maturity of the U.S. market make it a perfect litmus test for the industry worldwide. The findings are very much in tune with reports we are getting for 60 countries around the world, as we compile the next edition of the World Leasing Report. The equipment leasing industry is remarkably resilient.”

To download the full WCG report click here.

WCG is an end-to-end automotive & asset finance software solutions and consulting service.