P2P fund director buys £125k worth of stock

Many investors are hoping 2018 will see the P2P Global Investments fund’s share price continue to recover.

City veteran and P2P Global Investments non-executive director Michael Cassidy has increased his holding in the investment trust buying £124,500 worth of shares.

Cassidy, a lawyer who’s also a non-exec of Crossrail and a former chairman of the Barbican and the City Corporation’s Property Investment Board, bought the stock on 10 January.

Cassidy bought 15,000 at an average price of £8.30.

P2 Global Investments, the largest closed-ended investor in P2P loans as well as other non-bank lending assets has been undergoing a restructuring in the past 18 months or so.

When it launched in May 2014 it saw an initial burst of demand for its shares, moving to a double-digit premium quickly. This was replaced by a double digit premium within two years as the portfolio saw a number of headwinds emerge.

Its managers made a number of changes including merging their business with Pollen Street Capital – a rival private credit fund manager – as well as moving away from being a pure P2P play and more towards specialty lending against secured assets.

So far the strategy seems to be working. The discount has narrowed and it recently increased its dividend outlook after a bounce in its net asset value returns [NAV].

One analyst even shifted to labelling the fund a ‘buy’.

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