News Briefing - Crowdfunding, SME And Alternative Finance

Archetypal business people discussing charts

1.UK – P2P

AltFi reports:

Funding Circle has today (Monday) introduced two key changes to its secondary market, including a measure designed to reduce the average resale time of loans.

The changes have been documented on the Funding Circle website today (Monday) and will be introduced immediately.

The first change will see Funding Circle switch from a first-come, first-served basis and introduce a tool which will cycle round all investors wanting to sell loans as many times as possible.  

Funding Circle says this will allow investors to get their funds back quicker and comes after the peer-to-peer lender said average resale time for loans rose from 100 days in September to 124 days in October.

The change "will give all investors wishing to sell access to funds more quickly and regularly," said a Funding Circle spokesperson.

"The new selling tool will cycle through all investors wishing to sell loan parts as many times as possible within a 120-day period," Funding Circle added in a blog post.

The second change will see Funding Circle introduce a sellers fee, meaning there will be a transfer payment of 1.25 percent which will go to the buyer of the loan.

Funding Circle said the payment will bring the peer-to-peer lender with how other platforms manage their secondary market.

The likes of Zopa and Ratesetter also have seller fees as part of their models.”

 

2. UK – AltFi

Blackmore is failing to meet its coupon dates again. Bond Review reports.

 

3. UK – Equity

City AM reports.

“The London Stock Exchange (LSE) has signed a deal with online investment platform Primarybid to give retail investors access to share offerings on the same terms as institutional investors.

Under the deal, which was announced today, the pair will unveil digital infrastructure enabling companies that are listed listed or listing on LSE to include individual investors in initial public offerings (IPOs), retail bonds and other equity offerings.”

 

4. US – FinTech

Crowdfundinsider reports:

“The Securities and Exchange Commission (SEC) announced a significant review of the securities exemption ecosystem in June of this year. During the past few decades, the Commission, with some help from Congress, has updated and added to the many rules that regulate private securities offerings.

In recent years, public markets have stagnated and declined while private markets have boomed. Regulation D (Reg D), the most popular exemption, is estimated to be a trillion-dollar market – annually. Reg D is clearly a success as this exemption helps the US maintain the most robust private markets in the world providing the capital necessary to fuel innovation that drives economic wealth and creates new jobs. But things can always be improved.

The exempt securities market may be described as convoluted at best and Byzantine to a casual observer. The goal to match capital to companies in need while maintaining a good degree of investor protection is simple in concept but simple does not mean easy.”

 

5. US – FinTech

Coal mining to power crypto mining. In Wyoming... Really.

Crowdfundinsider reports.