Stuart Law

Assetz Capital launches property secured investment account

Assetz Capital has launched a property secured investment account (PSIA), adding to the four other specialist accounts available through the peer-to-peer lender.

The new account allows customers to invest in property-backed loans with the target rate of 5.5% gross per annum loan interest and the added protection of a discretionary provision fund.

Investors can automatically invest any sum upwards of £1 in a diverse portfolio of secured business loans that have passed Assetz Capital's credit checks.

Stuart Law, CEO at Assetz Capital (Pictured above), said: “Historically, property-backed investments have offered sound protection for lenders, even in difficult economic environments.

“We have always based our business on secured lending with property, which is the most common asset registered by borrowers.

“Nonetheless, there is a further level of security that can be achieved by limiting the loan to value to levels where expected losses on each particular loan are zero.

“Unlike most other assets, property can also increase in value, which can actually make the loan more secure as time goes by.

“The new property secured investment account is designed for investors that want that extra level of security on their investments, although we always point out that capital is at risk.

“We predict this will swiftly become one of our most popular accounts – it’s something our more cautious investors have been requesting for a while.”

Assetz Capital plans to make the account eligible for the IFIsa, once it has received full authorisation to offer the product.

The lender recently announced it has lent over £250m to UK businesses since launching four years ago and appointed Samantha Williamson as relationship director for south Manchester.

Leave a comment