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Post by ruralres66 on Oct 11, 2019 11:08:08 GMT
0.6% differential on Market Data between Max and old 5 year.........
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benaj
Member of DD Central
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Post by benaj on Oct 11, 2019 17:12:55 GMT
My "going rate" has been matched, after 100 hours, RS cumulative lending exceeds £15 Mil this week.
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sl75
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Post by sl75 on Oct 12, 2019 12:34:40 GMT
My "going rate" has been matched, after 100 hours, RS cumulative lending exceeds £15 Mil this week. As I recall, the "going rate" queue was in the region of £4M long at the time you added your offer to it, so with a "going rate" queue of £5.6M at time of writing, those who are creating a lending offer now would expect to wait a bit longer than this.
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pomma
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Post by pomma on Oct 13, 2019 16:55:20 GMT
I am exclusively in the 1 year market and will be saying goodbye when that product is no longer available to me. I think it's practically dead now already. No borrower offers for a while, I've had some cash on the market over a week now at 5% They might as well stop new investments in it. I'm starting to think this is their intention...to force all investors over to the new products and lower rates...
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Post by Deleted on Oct 13, 2019 21:00:05 GMT
See the post at the top of page 4 p2pindependentforum.com/thread/15343/5-year-6?page=45.2% was achievable in the 1 year market on Friday. The 1 year market is always very quiet over the weekend. If people put money into the new markets at 2.9/3.9/4.9, it will be the end of the 1yr and 5yr. You can easily match 5.3% on the 5yr market within a few hours - a lot better than 4.9% from Max in my view.
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Post by df on Oct 13, 2019 21:23:38 GMT
I think it's practically dead now already. No borrower offers for a while, I've had some cash on the market over a week now at 5% They might as well stop new investments in it. I'm starting to think this is their intention...to force all investors over to the new products and lower rates... Of course it is. Survival strategy, I think. And it can work, I recall at some point in the past people were happy to lend on RS at 1.6%... I'll just let my accounts to run down and will re-invest only if the rates become competitive again.
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Stonk
Stonking
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Post by Stonk on Oct 13, 2019 23:07:27 GMT
Supply and demand will dictate rates.
Unfortunately for us, though, a very high proportion of the supply on RS is provided by lenders who accept the rate that RS encourages them to (ever-increasingly strongly). The truth appears to be that there is enough of this "dumb money" to justify lower rates, and probably has been for a while. Witness what has just happened: before the new products, RS was telling lenders that the rate available was 5.5% (the 5 Year MR). One day later, RS told lenders that the rate available was 5.0% (the Max GR), and yet there is just as much supply as before. The vast majority of money -- new and reinvested -- goes on the market at the rate RS stipulates. They may even be able to reduce rates further before enough sleepy lenders wake up and cause the true balance point to be found.
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Post by df on Oct 14, 2019 16:00:12 GMT
Supply and demand will dictate rates.
Unfortunately for us, though, a very high proportion of the supply on RS is provided by lenders who accept the rate that RS encourages them to (ever-increasingly strongly). The truth appears to be that there is enough of this "dumb money" to justify lower rates, and probably has been for a while. Witness what has just happened: before the new products, RS was telling lenders that the rate available was 5.5% (the 5 Year MR). One day later, RS told lenders that the rate available was 5.0% (the Max GR), and yet there is just as much supply as before. The vast majority of money -- new and reinvested -- goes on the market at the rate RS stipulates. They may even be able to reduce rates further before enough sleepy lenders wake up and cause the true balance point to be found. Some will wake up, some not, but there are always new lenders who take the rates at face value We'll just have to watch the space. I recall when Unbolted dropped their rates many existing investors stoped reinvesting, but it doesn't look like UB is struggling for lenders' funds now.
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benaj
Member of DD Central
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Post by benaj on Oct 14, 2019 18:15:02 GMT
Supply and demand will dictate rates.
Unfortunately for us, though, a very high proportion of the supply on RS is provided by lenders who accept the rate that RS encourages them to (ever-increasingly strongly). The truth appears to be that there is enough of this "dumb money" to justify lower rates, and probably has been for a while. Witness what has just happened: before the new products, RS was telling lenders that the rate available was 5.5% (the 5 Year MR). One day later, RS told lenders that the rate available was 5.0% (the Max GR), and yet there is just as much supply as before. The vast majority of money -- new and reinvested -- goes on the market at the rate RS stipulates. They may even be able to reduce rates further before enough sleepy lenders wake up and cause the true balance point to be found. Some will wake up, some not, but there are always new lenders who take the rates at face value We'll just have to watch the space. I recall when Unbolted dropped their rates many existing investors stoped reinvesting, but it doesn't look like UB is struggling for lenders' funds now. That’s right, the new investor could easily earn 13%+ for lending 1k in the first year with the £100 bonus. www.ratesetter.com/invest/everyday-investing
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mary
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Post by mary on Oct 14, 2019 18:28:26 GMT
Supply and demand will dictate rates.
Unfortunately for us, though, a very high proportion of the supply on RS is provided by lenders who accept the rate that RS encourages them to (ever-increasingly strongly). The truth appears to be that there is enough of this "dumb money" to justify lower rates, and probably has been for a while. Witness what has just happened: before the new products, RS was telling lenders that the rate available was 5.5% (the 5 Year MR). One day later, RS told lenders that the rate available was 5.0% (the Max GR), and yet there is just as much supply as before. The vast majority of money -- new and reinvested -- goes on the market at the rate RS stipulates. They may even be able to reduce rates further before enough sleepy lenders wake up and cause the true balance point to be found.
With the new amalgamated queuing, it is easy to see that 60% is MR money, 40% is set higher manually. As the MR queued money is often not getting matched quickly, how long that £4m of non-MR money is withdrawn will dictate if rates will ever rise. Currently it appears that RS have achieved their goal of reducing rate volatility, which is necessary for them to achieve profitability. Keeping an eye on the non-interest earning Manual queue will indicate if rates may start to rise in future, but RS profitability is necessary to ensure they survive the cull that has already started at the Wild West end of the P2P market.
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Stonk
Stonking
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Post by Stonk on Oct 14, 2019 18:53:43 GMT
Supply and demand will dictate rates.
Unfortunately for us, though, a very high proportion of the supply on RS is provided by lenders who accept the rate that RS encourages them to (ever-increasingly strongly). The truth appears to be that there is enough of this "dumb money" to justify lower rates, and probably has been for a while. Witness what has just happened: before the new products, RS was telling lenders that the rate available was 5.5% (the 5 Year MR). One day later, RS told lenders that the rate available was 5.0% (the Max GR), and yet there is just as much supply as before. The vast majority of money -- new and reinvested -- goes on the market at the rate RS stipulates. They may even be able to reduce rates further before enough sleepy lenders wake up and cause the true balance point to be found.
With the new amalgamated queuing, it is easy to see that 60% is MR money, 40% is set higher manually. As the MR queued money is often not getting matched quickly, how long that £4m of non-MR money is withdrawn will dictate if rates will ever rise. Currently it appears that RS have achieved their goal of reducing rate volatility, which is necessary for them to achieve profitability. Keeping an eye on the non-interest earning Manual queue will indicate if rates may start to rise in future, but RS profitability is necessary to ensure they survive the cull that has already started at the Wild West end of the P2P market.
I can't help but think that a lot of the manually-set money asking for higher rates is at best not being monitored, or worst entirely forgotten about by its owners! Much of it is now so far away from being matched that an investor with their eyes open would either have changed their expectations, or withdrawn the funds to earn income elsewhere.
Forgotten could mean:
- a deposit made with RS, then placed as an order on the assumption it would match in due course ... except it never has because rates have fallen. - a reinvestment instruction that was set at a reasonable level some while back and not been updated, so unfulfilled orders from repayments are building up.
If this is so, then plenty of the higher-rate money is "dumb" too!
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Post by tom1 on Oct 17, 2019 8:22:08 GMT
My "going rate" has been matched, after 100 hours, RS cumulative lending exceeds £15 Mil this week. Did you receive an email notifying you of the match? As you may have seen in a separate thread, there are issues with some email notifications. I no longer receive notifications of rolled over (not re-invested) "matches" for example. If people also aren't getting re-invest loan notifications (I have no idea if they do - I no longer re-invest as the good rates don't happen any more), the people who just leave their money re-investing at "market/going rate" may not even have realised what is happening. Quite a convenient coincidence for RS.
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benaj
Member of DD Central
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Post by benaj on Oct 17, 2019 8:42:35 GMT
My "going rate" has been matched, after 100 hours, RS cumulative lending exceeds £15 Mil this week. Did you receive an email notifying you of the match? As you may have seen in a separate thread, there are issues with some email notifications. I no longer receive notifications of rolled over (not re-invested) "matches" for example. If people also aren't getting re-invest loan notifications (I have no idea if they do - I no longer re-invest as the good rates don't happen any more), the people who just leave their money re-investing at "market/going rate" may not even have realised what is happening. Quite a convenient coincidence for RS. Yes, I received email from RS on 11th Oct.
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Post by bernythedolt on Oct 17, 2019 10:40:28 GMT
Did you receive an email notifying you of the match? As you may have seen in a separate thread, there are issues with some email notifications. I no longer receive notifications of rolled over (not re-invested) "matches" for example. Yes, I received email from RS on 11th Oct. But was that for a match in the 1yr / 5yr market? From the scant information RS has provided, it seems they have a problem issuing notifications in those two markets only.
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mary
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Post by mary on Oct 17, 2019 12:22:38 GMT
Yes, I received email from RS on 11th Oct. But was that for a match in the 1yr / 5yr market? From the scant information RS has provided, it seems they have a problem issuing notifications in those two markets only. I manually placed an order in the 1 year yesterday, it was matched this morning and I received the email notification as usual. The annoying monthly rollover “matched” emails that I was getting in Rolling have ceased.
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