P2P GLOBAL Investments (P2PGI) has been hit by the recent hurricanes in America, as late payments from borrowers in affected US states are increasing.
A September update from the investment trust said late payments in its US portfolio had increased over the third quarter of 2017.
“Hurricanes occurring during the quarter also impacted the US portfolio by raising delinquencies in affected states such as Texas and Florida,” it said on Wednesday.
The fund has already been reducing its exposure to US consumer loans and its holdings now stand at 33.8 per cent of the portfolio, down from 44.5 per cent in March.
It has instead been focusing on secured assets, and its exposure to European real estate has increased from 8.9 per cent to 18.4 per cent over the same period, while its investment in UK small- and medium-sized enterprise (SMEs) loans has grown from 3.2 per cent to 7.8 per cent of the portfolio.
P2PGI’s net asset value (NAV) return for September was 0.19 per cent, up from 0.14 per cent in August, taking its quarterly performance to 0.77 per cent.
The report also said there would be a strategy update next month following the management merger with Pollen Street.
P2PGI is currently trading on a discount to NAV of 20.8 per cent.