OFF3R releases alternative finance report

Author

Off3r

05 December 2016

OFF3R has released the first in a series of reports on the state of alternatve finance in the UK. The report focusses on the performance of equity crowdfunding and P2P platforms, events that have impacted the sector and thoughts towards the future.

 

Key findings

Equity crowdfunding

  • An average amount raised per month of £18 million across the seven platforms
  • 80,000 investments were made, with just fewer than 400 funded deals
  • October 2015 to December 2015 was characterised by a high growth trend, due to investor confidence in the asset class, a selection of large fund raisers and the state of the broader macro-economic environment
  • December 2015 was the best performing month of funding with £26 million raised
  • January 2016 to September 2016, represented an approximate 25 percent drop off in raised activity between these months and the previous year
  • Two events during 2016 shows crowdfunding is an established player aligned with wider investment sentiment: the FTSE three-year low in January 2016 and the post-Brexit fallout

P2P lending

  • An average amount lent per month of £197 million across the eight platforms
  • April 2016 showed a seven per cent drop due to a number of factors, such as Lord Turner’s negative comments about the P2P market and Lending Club’s loan book discrepancies scandal
  • Slight drop in total lending throughout June and July 2016
  • August 2016 lending increased 20 percent – the biggest month-on-month increase in their data
  • September 2016 was the strongest performing month with nearly £234 million bring lent

To get a copy of the full report please email hello@off3r.com.

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