Peer to peer (P2P) lending is often considered risky business, but as the industry and regulation have moved on, have advisers become more willing to recommend the products to clients?
In April last year, the regulator varied financial advisers' permissions to include peer-to-peer (P2P) lending. As such, regulated advice given on P2P lending fell under the consumer protection rules, including the Financial Services Compensation Scheme (FSCS) and Financial Ombudsman Service, but the product itself, which is unregulated, did not. In March, Orca CEO Iain Niblock said there has been "virtually no uptake" by financial advisers since the products were brought under the regulatory investment advice rules. At the same time he estimated 2.7 million people would be investing ...
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