P2P lending tipped as top asset for 2022

Peer-to-peer lending has been named as a top asset for investors in 2022, according to a ranking by investment platform Robocash that takes into account numerous criteria from profitability to volatility.

Coming in third, after global currencies and stocks, P2P lending can largely replace deposits or bonds in the future, according to the analysts at Croatia-based Robocash.

“Such changes may be associated with a long-term historical decline in the yield of traditional instruments, as well as global uncertainty about the future of capital markets,” they commented.

Read more: P2P lending grows in popularity in Europe

The assets were scored across seven factors to determine their attractiveness. These were: entry threshold, simplicity, liquidity, volatility, growth forecast, profitability and risk. Depending on its importance in the rating, each factor was given a low or high priority.

Read more: How European P2P lenders are protecting investors from war in Ukraine

With the smallest entry threshold, high liquidity, low risk and volatility, global currencies were able to take the top spot. In second place and third place, stocks and P2P lending scored high on profitability.

Cryptocurrencies, bonds, real estate, precious metals and bank deposits were also featured on the list. Meanwhile, metals were the least promising asset because of their low yield and high risk-volatility index.

Read more: European P2P lending market set for 20pc growth