First IFISA product is revealed

In sixty days time, UK investors wil be able to put their money into the new IFISA (Innovative Finance ISA) and enjoy the risks and returns of peer-to-peer lending tax free.

Magician's wand and rabbit appearing from hat

Source: Pixabay

The first provider to announce a product is RateSetter. Ratesetter is the second biggest peer-to-peer lender to individuals, according to the Liberum AltFi Volume Index, with a 20% market share, just behind Zopa.

Crowdfunding Gamekeeper Turns Poacher?

A long time critic of crowdfunding has, we understand, changed sides, and is launching a consultancy to help SMEs raise capital.

Hunter shooting at ducks

Crowdfund Insider calls Rob Murray Brown a 'gadfly'. We've been reading his blog 'Fantasy Equity Crowdfunding' for some time now, we but have never dared link to any of his posts, because his opinions are forthright, to say the least.

The Risks Of Equity Crowdfunding

Archetypal business people discussing charts

(Source: Pixabay)

Crowdfunding represents a massive change to the way businesses raise funding, and one criticism that is worth taking seriously is that the changes haven't been throught through. That's a risk inherent in innovation; the players in the crowdfunding sector are making it up as they go along.

The Rise Of The Robo Advisors

Your next financial adviser may be more like Metal Mickey than Michael Milken. If reports we're hearing are true,  a combination of artificial intelligence and a drive to keep down costs means that many forms of financial advice may be taken over by machines.

Your robo-adviser will gather the Know Your Customer (KYC) data, profile you, and make suggestions based on deep data and sophisticated algorithms.

1950s pulp fiction shows robots in control

Regulation Must Serve A Purpose

Rules and Regulations - an old document

Source: Wikimedia Commons

One of the recurring themes of crowdfunding is calls for regulation. Another Crowd believes that overall, the Financial Conduct Authority (FCA) is doing a good job, and the pragmatism, sensitivity and focus of our regulation has a lot to do with why the UK now leads the world in the adoption of crowdfunding and alternative finance.

We were pleased when the FCA resisted calls from an MP to offer stronger investor protections, because it was more important (in our view and the FCA's) to focus investors' minds on the risks they were taking.