LandlordInvest expects to double IFISA intake this tax year
LANDLORDINVEST is expecting its Innovative Finance ISA (IFISA) intake to double this tax year.
The property peer-to-peer platform, which launched its IFISA in January, said it attracted £419,385 in the previous tax year and was hoping to see that double to nearer £1m.
Filip Karadaghi, chief executive of LandlordInvest, said he expects the entry of Zopa and eventually Funding Circle to the IFISA market to boost the overall sector.
“As bigger platforms are now able to offer IFISA, it may be argued that it will lead to more knowledge and interest among the public resulting in a higher overall demand for IFISAs including ours,” he said.
“It may also be argued that investors will, due to brand recognition, transfer their IFISAs from smaller to bigger platforms although I don’t believe this to be a big driver.”
Earlier this year, LandlordInvest said customers invested 19 per cent more money in the platform’s IFISA than standard account investors.
The average amount deposited in a LandlordInvest IFISA account was £2,404, compared with the average £1,945 deposited by investors using a standard account.
“More funds will mean higher frequency of loans made available for investment and higher average loan sizes,” Karadaghi added.