Petra Plans Peer-To-Peer Fund

Sep 5 2013 | 11:47am ET

Hedge fund Petra Partners is gearing up for the launch of a peer-to-peer lending hedge fund.

The new credit-focused fund will debut on Oct. 1, HedgeCo.net reports. The new fund aims to offer low volatility and low standard deviation, producing annual returns of 9% to 12%.

"P2P lending has been around for only for a few years (the first P2P business, Zopa, was founded in the U.K. in 2005 and, since then, many others have entered the space) but, in that time, platforms in the U.S. and Europe have originated more than $3 billion in P2P loans,” Joshua Rand, Petra's chief operating officer, said. “Loan origination is currently growing at an average rate of approximately 8% to 10% per month, signifying a market—an asset class, actually—still in its nascent stages and with tremendous upside potential.”

“Moreover, while the sheer scale and growth prospects for this niche are impressive, what makes this asset class extremely compelling as an investment opportunity – and the primary reason for which we are eager to raise a fund – is the consistent performance of the loans and the diligent manner in which they are originated.”


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

Often seen as a passion project, or part of a philanthropic venture, rare and fine stringed instruments offer an exciting option to diversify one’s investment portfolio while providing an opportunity for an exceptional long-term investment.