Linked Finance, Ireland-based peer-to-peer lending company, announced on Monday the launch of its new type of pension account. The account allows holders of self-managed pensions to make P2P lending to Irish SMEs part of their pension investment portfolio.
According to Linked Finance, the accounts have been developed in conjunction with some of Ireland’s leading pension trustee companies so that they meet the typical requirements associated with the most common self-managed pension products on the Irish market. The accounts will now allow those lenders, with an existing self-administered pension in place, to lend on Linked Finance as part of their planning for retirement. The online lender noted that lending in this manner allows those users to avail of the tax benefits associated with investing through a pension plan. Those with the following self-managed pension arrangements already in place can open an account.
Peter O’Mahony, Founder at Linked Finance, stated:
“These new pension accounts will allow more Irish people to make lending to local SMEs part of their planning for retirement while availing of all the tax benefits associated with investing in a pension product. P2P lending is becoming an increasingly attractive asset class and it can be a great addition to any diversified pension portfolio.”
“With these Linked Finance Pension Accounts lenders will get all of the great features of a standard Linked Finance account while giving the trustees of their pension the access and oversight they require. They are a valuable development for the platform and have real potential to boost retail liquidity; ultimately increasing access to fast, fair and affordable finance for Irish SMEs.”
Those with the following self-managed pension arrangements already in place can open an account:
- Small Self-Administered Pension Scheme (SSAS)
- Personal Retirement Bond (PRB)
- Approved Minimum Retirement Fund (AmRF)
- Approved Retirement Fund (ARF)