INVESTORS on the Growth Street peer-to-peer lending platform have seen a 16.7 per cent annual boost in returns so far in 2018.
The business P2P lender has revealed its effective annual rate – the average investors can earn when taking into account unmatched funds and reinvestment of returns – is now at five per cent.
This represents a 16.7 per cent increase on 2017 when Growth Street’s effective rate was 4.3 per cent per year.
Greg Carter (pictured), chief executive of Growth Street, attributed the boost to the platform’s credit decision-making technology and recruiting a national sales team.
Growth Street has also focused on targeting larger businesses, in 2017 the average application it received was for £130,000, while in 2018 to date the average application has been £310,000.
“I’m delighted that we have demonstrated to investors that P2P can be a rewarding asset class,” Carter said.
“We’ve continued to refine our borrower acquisition strategies and underlying credit technology, and Growth Street has seen a really successful 2018.
“As the P2P sector continues to mature, we hope that 2019 will be similarly prosperous, both for our investors and the businesses benefiting from their capital.”