Assetz chief expresses regret at retail exit

Assetz Capital chief executive and founder Stuart Law (pictured) has expressed his regret at the platform’s exit from the retail market, after years of championing retail-funded peer-to-peer lending.

Law had been one of the most vocal supporters of retail investors in the sector, telling Peer2Peer Finance News just two weeks ago that “institutional demand will always be in addition to retail investment origination.”

Yesterday, Assetz Capital announced that it would run off its retail-funded loan book following rising investor outflows amid higher interest rates.

When asked if he felt regret that Assetz would be leaving the retail market, Law said: “Yes, I certainly do.”

“We have always been retail first and wanting to provide as many investments as people wanted for as long as they wanted them,” he said in an emailed response to Peer2Peer Finance News. 

“We are pleased to have delivered so much gross interest earned to our retail investors, some £170m plus and are glad that we could be of so much help through the last 10 years of near zero savings rates.”

Law said that the decision to close the retail business came after carrying out an investor poll and monitoring investor activity levels.

He added that while retail demand didn’t stop, “it was in a long-term decline and it had become settled as slightly net outflows.”

However, he added that there is still room for retail investors in P2P lending.

“We wish the industry well,” he said.

Read more: British P2P “remains powerful”