Crowdfunding, peer to peer, and Innovative Finance Isas

Peer to peer lending and crowdfunding offer investors a way to lend to businesses and consumers for a high interest rate return. 

But although some can now be held in an Innovative Finance Isa, these investments come without the protection of the Financial Services Compensation Scheme.

Stewart Cazier, of alternative lending platform Thincats, details what investors need to know about peer to peer, crowdfunding and Innovative Finance Isas on the Investing Show.

He explains to Simon Lambert, of This is Money, and Richard Hunter, of Interactive Investor, how alternative lending works, what investors need to consider, how to diversify and why it’s important not to consider it risk-free or put all your eggs in one basket.

In the second part of the show, we discuss the Fang stocks. 

Once they could do no wrong but now investors are worried by Facebook, Amazon, Netflix and Google. Simon Lambert, Richard Hunter and Nick Batsford look at why – and what that means for UK shareholders.