UK Lawmakers Criticize Crowdfunding

The government of the United Kingdom is giving its investors mixed signals.

The Bank of England cuts interest rates hurting savers, while the Financial Conduct Authority licenses peer to peer crowdfunding lenders.

Now some Members of Parliament are admonishing the government that it is promoting risky investing as investors chase yield with P2P lenders. P2P sites don’t have the same government backing as bank savings accounts.

The MPs now claim that the government is supporting risky behaviour that could end badly for naive citizens.
http://www.telegraph.co.uk/business/2016/08/04/stop-backing-risky-crowdfunding-mps-tell-the-government/

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About JeffKoeppel

I am a corporate/securities attorney in the Washington, DC area. Prior to joining the firm, I was a Senior Attorney Advisor in the Division of Corporation Finance at the U.S. Securities and Exchange Commission. I am a member of the Bars of the States of Maryland, New York and the District of Columbia. You can also follow this blog on LinkedIn at: http://www.linkedin.com/pub/jeffrey-a-koeppel/0/63/5a9
This entry was posted in accredited investor, Banking, Banks, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Film, Funding Portals, Investments, Jobs, Legislative Intent, Small Business, VC, Venture Capital, Wall Street and tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

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