We use cookies to improve your experience on this site. By viewing our pages, you give us consent to use cookies. Find out more.

Alternative Finance blog

BUSINESS AGENT'S press release Tuesday 4th June 2019  Financial Conduct Authority Loan-based (‘peer-to-peer’) and investment-based crowdfund

BUSINESS AGENT'S press release Tuesday 4th June 2019 Financial Conduct Authority Loan-based (‘peer-to-peer’) and investment-based crowdfund

6 months ago


 Business Agent & Crowdrating aggregate, compare and rate Equity crowdfunding & P2P investments.

 

Comment from Sacha Bright, founder and Chief Executive of Nextfin.uk

 

It has long been anticipated, but today the FCA released new rules for the peer-to-peer (P2P) sector & investment-based platforms. At NextFin.uk we have been calling for greater transparency from P2P & Equity crowdfunding platforms for many years and for many years we have been disappointed by the inadequate response of the Platforms. Investors need meaningful data to make informed decisions and it really shouldn’t be as difficult as it is to compare essential information like charging and default rates across platforms.

 

The new regulations prompt on governance shows that the FCA clearly agrees. The regulations state that individual investors must have access to key information and comparisons between platforms and investments. What is missing is a ruling that this information should be publicly available. In light of Platform providers sluggish moves towards transparency to date and their use of confidentiality clauses for data that prevents comparison, we wonder if this oversight might provide wiggle room for Platforms that gets in the way of the regulators goal of improving transparency for investors? I can only hope not.

 

Quote

“The FCA have agreed that there is a need to have data available for comparison but haven’t made it clear that it should be publicly available on a regular basis. Without this it is difficult for investors and advisors to make real time informed decisions”

Sacha Bright CEO of NEXTFIN.co.uk the alternative finance market

 



Please sign in or register to nextfin.uk
to comment on this post.

Sign In Register

 

  • Internet Business Awards Category Award Winner 2015
  • Hertfordshire Business Awards Finalist 2014

As seen in:

  • The Guardian
  • Financial Times
  • Yahoo! Finance
  • The Times
  • The Daily Telegraph