Investors withdraws fund for different reasons. I have made 2 withdrawal requests in the past without much fuss. It was painless because most of those money (99%+) wasn't "invested".
At the moment, Welendus has not implemented a feature to withdraw unallocated money within a investment. If I choose to made a withdrawal request for one investment, the loans within the investment will be sold without earning accrued interest. Most of Welendus loans are less than 120 days, so in theory, someone could make a withdrawal request assuming all borrowers pay back on time after 120 days.
Does anyone have good ideas to rundown this particular investment with losing too much if this money will be reinvested immediately? Is it better to bite the bullet and sell the investment asap, or wait a little bit longer to earn a bit more when borrowers make repayment but not too long with too much idle money?
The tricky part, some loans cannot be sold before PF buyout.
I believe most loans pay interest at least monthly so the maximum lost accrued interest on loans sold down is likely be sub 30 days, although you would lose more interest on late/defaulted loans yet to be paid back via the PF. There is enough detail on the live loans to work out approximately how much accrued interest you will forfeit, ie calculate all interest earned and accrued on live loans (days*balance*int rate/365) and subtract "interest from non-completed loans". The only way to minimise the pain would be to wait for uninvested/queued investment to rise and withdraw at its high point. Personally, if I needed the money or thought I could better deploy it elsewhere, I would just bite the bullet rather than faffing around with timing which I think will only have a marginal effect.
I try to manage this issue by minimising the size of my investments to give me flexibility in selling down in future, but this hugely increases the amount of time it takes to reconcile my account
Until W implement a facility to "cashout" simply, I will continue to create new investments of £1k. As nick says it's more time consuming looking after multiple small investments rather than one large one but I dont want to be stuck having to sell the whole lot to withdraw just a percentage.
This may be something W would want to look into sooner, rather than later - I guess I'm not alone in having funds with W that I'd like to move into an IFISA in a few weeks time - I can't see how I can do this without losing a chunk of interest.