A London-based mini bond company that raised more than £8m from its investors and has ties to the collapsed London Capital & Finance has reportedly failed.
The Times reports that Asset Life, an unregulated issuer of mini bonds, fell into administration in July.
Companies House records show Asset Life director Martin Binks was previously also a director at LC&F in 2015 and 2016.
Asset Life issued more than 700 mini bonds – illiquid debt sold on to investors and typically more risky than other investments – to around 500 investors.
The reports of Asset Life’s collapse follow a warning from the FCA earlier this year. The regulator warned that the Marylebone firm was providing products and services within the UK without administration in a warning note on its website.
Case administrators David Rubin & Partners have informed creditors that Asset Life made investments into various unlisted companies.
The administrators are currently looking to define the nature of the assets to weigh up the prospect of capital recovery.
Money Marketing also reported yesterday that investors holding money with mini bond issuer Blackmore Bonds- that used the same marketing firm as LC&F – are still waiting on July interest payments.