LAWRENCEVILLE, Ga. -

Despite growing supply challenges, the newest white paper from Black Book Lender Solutions highlighted how profitable portfolio growth opportunities remain in place for auto lenders.

The white paper titled, “Finding Portfolio Growth Amidst Changing Supply Levels,” also reinforced three other points for executives at finance companies, banks and credit unions to consider, including:

—How to leverage collateral data to find opportunities despite changing supply levels

—How price compression is impacting the industry

—The role collateral data plays into portfolio management

Black Book acknowledged that increasing supply has become more of a focus in the automotive industry causing concern over accelerated depreciation since inventories are reaching some of their highest levels since August of 2009.

Despite this increase in supply, the firm insisted opportunities exist to profitably compete amidst the industry challenges. Black Book Lender Solutions offers three examples of vehicles with rising supply levels that offer portfolio expansion opportunities based on anticipated 24-month depreciation patterns.

“Although the pace of near-term sales growth may not mirror what the industry has experienced over the last few years, portfolio expansion opportunities remain,” said Jared Kalfus, vice president of data licensing for Black Book. “Collateral data is a key element being used by lenders to spot the right vehicles for portfolio growth based on sophisticated data that can show historical, current and projected valuation trends.”

Click here to download a copy of the new white paper from Black Book Lender Solutions, “Finding Portfolio Growth Amidst Changing Supply Levels.”