ASSETZ CAPITAL REACHES £200M MILESTONE AFTER RECORD GROWTH YEAR
- Over £200m has been lent to credit worthy SMEs through the platform since launching in April 2013
- Investors have earned a total of £17 million with actual rates of between 3.75%- 15% per year*
- Milestone cements record year for Assetz Capital – £108m lent in 2016
Today, Assetz Capital, one of the UK’s largest peer-to-peer platforms, announced it has lent £200 million since launching in 2013. The alternative finance platform helps small and medium-sized British businesses and property developers acquire funding and is now providing secured loans totalling as much as £26 million per month and lent over £45m in the last quarter of 2016.
The milestone caps a record year for Assetz Capital, in which over £108 million was lent in 2016, earning investors a total of £17m of interest since the business launched. More than £500 million is now available and ready to lend through the platform to credit-worthy businesses. According to independent data table AltFi.com, Assetz Capital is now the third largest peer-to-peer business lender in the UK.
Stuart Law, CEO of Assetz Capital commented, “Assetz Capital’s growth has been exponential over the past year as a result of the funding shortage for SMEs and the low interest rates on offer from banks and the fact that we’ve lent an incredible £108m last year is credit to our hard-working and experienced team. Another core reason to our success is our business model, which ensures all loans are backed up by property or other tangible assets. We believe that secured loans are the best investment model for our lenders and they allow us to achieve stable growth whilst keeping losses to a minimum.” With a default rate of 6% but losses running at just 0.8%, Assetz Capital is proving their mettle when it comes to protecting investors interests.
Confidence is growing in the peer-to-peer sector, as more investors look for higher risk-adjusted returns in a time of low interest rates and more borrowers see the advantages of dealing with peer-to-peer lenders. In August 2016 independent analysts Defaqto assessed the sector. Assetz Capital was one of only five platforms to achieve a 5 Star Defaqto rating in the first “Loan Based crowd funding” category.
All Assetz Capital investments – whether that’s through the Great British Business Account, or the Quick Access Account – can be made and managed through Assetz Capital’s comprehensive and market leading members’ portal.
Mr Law concluded, “We are delighted with the success we’ve had to date. £200m lent in a few short years is no mean feat but in such a fast growing sector we have our sets set even higher in 2017. With around one quarter of all our lending to date being carried out just in quarter 4 of last year it’s going to be a big and important year for both Assetz Capital and the wider P2P sector.”
* These rates of return were the rates actually available to investors on the Assetz Capital platform during the period. All rates are quoted gross, before allowances for tax or any possible losses. Interest target rates should be considered along with the relevant investment account expected defaults and losses. Past performance is not indicative of future results. Capital is at risk.