The IPO of Funding Circle, the peer-to-peer lender that includes Index, Accel and Union Square among its backers, didn’t go quite according to plan.

The business was hoping to achieve a valuation of close to £2bn (€2.2bn) on listing, but after pricing at the bottom of its range the company’s stock has fallen by almost a quarter since its debut.

So what went wrong? Tetchy stock markets are one explanation. Luxury auto manufacturer Aston Martin, which went public at the same time, has also seen its shares dip post-listing. Funding Circle did go out with an ambitious target, and after looking at how its US peers are trading investors clearly felt that the price was too high. In uncertain geopolitical times, stock pickers are starting to take a more cautious approach.

Over the long-term, however, don’t be surprised if Funding Circle bounces back. Earnings are still going through the roof and the SME market remains desperate for alternatives to mainstream banks. Investors my change their minds over time.