New robo-adviser hedge fund aims to let investors buy online lenders’ loans

Seattle-based LendingRobot has launched a new hedge fund that aims to give regular investors a chance to buy consumer, small-business and real-estate loans made by peer-to-peer and online lenders.

The robo adviser’s fund is called LendingRobot Series and is being kicked off at a time of unrest in the nascent, but rapidly growing, online-lending industry that is still attempting to regain its footing after a scandal at a popular, publicly traded lending platform, LendingClub Corp. LC, +0.33% unnerved investors in May.

LendingRobot’s fund differs from those lending platforms inasmuch as it would allow so-called accredited investors to purchase the underlying loans rather than the shares of online lenders like LendingClub, and Funding Circle Ltd.

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