Investbook highlights ‘medium term’ potential of P2P
Crowdlending should be considered as a medium-term investment option within a diversified investment portfolio, according to European peer-to-peer lending platform Investbook.
In a note to investors, Investbook said that diversification is the key to success and limiting risk, and suggested that savings should be spread across a range of different options, including stocks and shares, real estate and crowdfunding, for example.
Over the short term, Investbook noted that investors’ priority should be to limit the risk of loss as much as possible. The platform suggested choosing a regulated and flexible savings account or life insurance policy which can guarantee your capital over the short term.
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However, when choosing investments over a two to eight year horizon, Investbook said that “the time interval allows you to integrate a share of risk into your investment in order to maximize performance.”
As such, the lender said that investors should choose a mix of equity and debt investments, with a portfolio split between life insurance, funds and crowdinvesting platforms.
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When investing over the long term, Investbook highlighted real estate as a useful investment option, alongside other diverse portfolio elements.
“No one invests to invest,” said Investbook.
“Even if it is simply to grow your wealth, your investment responds to a project. Each project has a deadline: this is your investment horizon.
“Thus, depending on the nature of your projects you will have to choose and diversify your investment horizons accordingly.”
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