Upstart Holdings, Inc. (NASDAQ: UPST) updated the Upstart Macro Index (UMI) to include May 2026 data, reporting a rise to 1.49 from 1.43 in April. The index remains below the elevated levels observed in early 2024. The UMI estimates the impact of the macroeconomy on credit losses for Upstart-powered unsecured personal loans, expressed as a multiple of defaults relative to a static baseline due to macroeconomic changes.

Broader macroeconomic trends contextualized the recent movements in the index. The personal savings rate was 3.0% in May, flat with the level in April, as an increase in disposable personal income (+0.7%) was offset by an uptick in consumer spending (+0.7%). The unemployment rate was 4.3% in May, flat with the prior two months.

Revisions to UMI are posted weekly. Since the last monthly data release on May 28, 2026, UMI has been revised as follows:

A UMI of 1.25 for a given month suggests that the macro caused default rates to be 25% higher than the long-run average. Upstart’s risk models are regularly recalibrated to changing macroeconomic conditions, meaning a UMI above 1.0 does not imply loans are underperforming, nor does a UMI below 1.0 imply overperformance. The calibration adjusts loss assumptions, interest rates, and approval rates for new loan originations on the marketplace.

Upstart is an AI lending marketplace connecting consumers to banks and credit unions. Its platform includes personal loans, automotive retail loans, home equity lines of credit, and a revolving line of credit product. The company is based in Burlingame, California.

Upstart Holdings, Inc. has renewed its forward-flow agreement with Neuberger Specialty Finance, the dedicated asset-based investment team within Neuberger, a global investment management firm. As part of the renewal, funds managed by Neuberger Specialty Finance are expected to invest in up to $600M of consumer loans originated through the Upstart platform. This agreement strengthens the diverse, institutional-grade funding ecosystem that enables Upstart to provide more competitive rates and improved experiences for borrowers.

Sanjay Datta, President, Capital & Enterprise at Upstart, highlighted the enduring relationship between the two entities. He noted that Neuberger has been a valued partner through multiple market environments and that their continued commitment enhances the funding landscape for the AI lending marketplace.

Peter Sterling, Managing Director and Head of Specialty Finance at Neuberger, emphasized Upstart's disciplined approach to credit and commitment to innovation. He stated that the partnership has grown over time, appreciating the team's execution and support for the platform's growth while securing attractive opportunities for investors.

About the Partnership

The renewed agreement focuses on the investment in consumer loans facilitated by Upstart's AI lending marketplace. The collaboration leverages Neuberger's asset-based investment expertise to support Upstart's loan origination capabilities.

Company Profiles

Upstart is the leading AI lending marketplace, connecting millions of consumers to more than 100 banks and credit unions. Its platform includes personal loans, automotive retail loans, home equity lines of credit, and the new Cash Line product. More than 90% of loans are fully automated with no human intervention by Upstart.

Neuberger Private Markets, a division of Neuberger, has been an active private markets investor since 1987. As of December 31, 2025, it manages over $155 billion of investor commitments across various strategies, including private credit and specialty strategies. The team comprises over 500 professionals with a global presence in 17 offices.