LANDLORDINVEST has announced that it has raised over £2m in subscriptions for its Innovative Finance ISA (IFISA).
The peer-to-peer lender, which specialises in buy-to-let mortgages, said on Wednesday that demand for its property-backed IFISA more than doubled in the second tax year since its launch.
The company said that its investors opened 121 new IFISA accounts in the 2017-18 tax year with total subscriptions reaching £1.65m.
This was more than double the 68 accounts opened in the 2016-17 tax year and was a substantial 292.5 per cent increase on the £419,385 of subscriptions made in the first year of the IFISA.
“We have widely surpassed our own forecasts and attracted substantially more ISA subscriptions than expected,” said Filip Karadaghi, LandlordInvest’s managing director.
“Such impressive results are testament to the benefits that investors recognise in our property-backed IFISA.”
LandlordInvest said subscriptions from transfers of cash or stocks and shares ISAs reached £536,404 last year as investors were tempted by returns of up to 12.3 per cent per annum.
“The potential to earn higher and inflation beating returns than offered by cash ISAs, and without exposure to or correlation with the volatile stock markets as with stocks and shares ISAs,” said Karadaghi.
“We are looking to maintain this rate of progress in the coming years, by continuing innovating the alternative finance and ISA industry and developing our position as one of the leading providers of the property-backed IFISAs.”