Not that long ago, to receive a loan or invest through a traditional financial institution, anyone would have gone over a long and usually stressful process until the application confirmation. Not to mentions all the hidden fees and rules that sometimes would apply for different reasons.
But that’s no longer the case – or, at least, there is a choice to avoid the traditional system. The finance world is transforming – and there are alternative finance platforms for investors who want to make their money grow, without the inconveniences that are usually found in the traditional financial institutions.
According to Investopedia: “An alternative investment is an asset that is not one of the conventional investment types, such as stocks, bonds, and cash.” Alternative finance platforms usually use technology solutions to make the financial process more efficient and accessible for everyone from an experienced trader with a lot of assets to a simple person which has an only small sum to invest. It allows more people to use financial instruments to improve their life quality.
Alternative investment platforms may be different from one another, some of them offer investment in real estate, P2P lending, consumer loans, businesses, startups, etc. It usually brings better ROI than conservative investments which yields up to 4% ROI annually, while alternative investment can grow the return on investment up to 16% and more. Higher return on investment means bigger risk, that is why platforms constantly work on solutions to lower all the possible risks. During the past years, alternative investment companies had a huge improvement in risk management practices. Most of them are following strict Know Your Customer & Anti Money Laundering best practices. Platforms do in-depth quality checks in all the investment proposals before listing it to their customers. At the same time, newest technologies lower the risk of fraudulent activities.
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Each year alternative investment platforms grow, matures and gain more influence in the finance world. A rising star in the market at the moment is Fast Invest. They are developing a peer to peer investment platform based on investments in already issued consumer loans across Europe. The company strives to offer a way for everyone to invest their money and build a passive income flow.
Fast Invest experienced rapid growth compared to 2017, according to 2018 3rd quarter results, platform reached 27k customers. Their average interest rate increased from 12.78% to 14.3%. Company cumulative turnover grew from € 5.2 mln. to more than €29.6 mln. As well investment volume rose from €1.3 mln. to more than €5.2mln.
Why people choose Fast Invest?
There are unique features which helps them to stand out from a wide range of competitors and attract more investors each month.
- Security, all loans in Fast Invest pool are protected by a Default Guarantee. It is evident that all investments carry some risks. There is a possibility that the borrower will stop paying his repayments for multiple reasons. Fast Invest is making sure that their customer’s investment would be safe by compensating the payment if a borrower is ever late on his or her scheduled loan payment. If a payment instalment is overdue for just three days or more, Fast Invest Default Guarantee will settle any amounts in arrears.
- Money back, anytime. Fast Invest constantly works to develop a platform that offers the highest quality services to their customers. That is why the platform offers a different BuyBack Guarantee than investors are used to. If anyone decides to stop investing at any loan, Fast Invest will buy the investment back in one day, compared to 30-60 days in other similar companies. Investors do not need to worry about their assets for a month or two anymore. They can receive the funds immediately. As well by establishing this guarantee, they have eliminated the need of the secondary market. In this way investors do not need to worry about the slow money liquidity anymore, they can get it back their assets anytime.
- One of the highest ROI in the market. Fast Invest peer to peer investment platform offers interest rates from 9% up to 16%. According to their 2018 3rd quarter results, investors received an average 14,3% return on their investment compared to 12.78% in 2017. The positive increase was possible because of excellent management, strategic partnerships, and top-end technological solutions. To make it even better there are no hidden fees on the platform.
Fast Invest is one of those companies that clearly shows that customer comes first. They have successfully lowered the investment risks so that everyone would have a chance to be an investor. The success that the platform faces is no coincidence. It is purely a result of the hard work that CEO S. Vaitkune and her team put into the development of the platform. They will continue to disrupt the investment industry by providing high-quality services to their customers.
While individual investment companies like Fast Invest are doing great, whole alternative investment market is rapidly expanding. Only P2P market is expected to hit around a trillion dollars by 2025. That shows that more and more people are choosing alternative ways to manage their assets. Traditional banking and investing institutions must make changes in their infrastructure to maintain their influence in the constantly changing finance world.