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Post by sterilized on Jul 8, 2015 16:25:45 GMT
I have recently noticed that the number of investors currently registered on Moneything has increased by approximately 8% in the last month. This is probably largely due to the number of new loans which have appeared recently and the excellent way Ed treats his investors.
However I am beginning to wonder how this will affect the limits in the first 24 hours on loans. The current managed portfolio of £50,000 has an 80% take up after one hour. As investor numbers increase this will undoubtedly shorten the time frame.
Would it not be an idea to try and create a formula to allow everyone a chance to participate within the first 24 hours. I am fortunate in that I work unusual hours and can participate in most cases when the loan goes live.
Some are not and may miss out. The current managed portfolio would only allow 100 investors at the maximum £500 which is approximately only one third of the total registered investors. I would prefer this to be nearer a half of registered investors as I appreciate that not everyone will invest the full £500.
This would mean that the new limit would have been (50000/(327/2)) = £304
Hopefully this would allow Ed to launch the loan at any time of day and give everyone a chance.
Any surplus that does occur would no doubt be gobbled up during the next 24 hours.
What do people think? There may be some obvious disadvantages as investor numbers increase as they definitely will due to the excellent nature of the site.
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SteveT
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Post by SteveT on Jul 8, 2015 16:36:10 GMT
Until this latest MP, Ed's bid limits were generally set at 1.5%.This one has been reduced to 1% and there is still 15% of the loan available more than an hour and a half after launch. I suspect there will still be availability for most of the evening so the 1% limit seems about right to me for an MP. For other single item loans, a higher limit may still be justified (the MPs appear to be the most popular type).
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jonbvn
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Post by jonbvn on Jul 8, 2015 17:24:32 GMT
Until this latest MP, Ed's bid limits were generally set at 1.5%.This one has been reduced to 1% and there is still 15% of the loan available more than an hour and a half after launch. I suspect there will still be availability for most of the evening so the 1% limit seems about right to me for an MP. For other single item loans, a higher limit may still be justified (the MPs appear to be the most popular type). It seems that a larger combined loan of £50k rather than 5 x £10k loans has worked out well. More than 10% of the loan is still available 2 hours 23 minutes after opening for bids.
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scraggs
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Post by scraggs on Jul 8, 2015 18:57:57 GMT
And when there are 1k members ?
For me I wouldn't like to see things get lower than 1%, especially on the smaller stuff, if loans start getting like FS amounts I wouldn't want to bother personally.
I think how it went today was fine.
I really would hate to be in Ed's shoe's, trying to please everyone just isn't possible.
Edit: just looked and there is still nearly 10% left
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jonbvn
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Post by jonbvn on Jul 8, 2015 20:59:54 GMT
And when there are 1k members ? For me I wouldn't like to see things get lower than 1%, especially on the smaller stuff, if loans start getting like FS amounts I wouldn't want to bother personally. I think how it went today was fine. I really would hate to be in Ed's shoe's, trying to please everyone just isn't possible. Edit: just looked and there is still nearly 10% left Just checked and there is still just under 7% left at 10pm (ish). This (to me) indicates that the loan amount/bid limit combination was spot on.
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bugs4me
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Post by bugs4me on Jul 8, 2015 21:43:39 GMT
Until this latest MP, Ed's bid limits were generally set at 1.5%.This one has been reduced to 1% and there is still 15% of the loan available more than an hour and a half after launch. I suspect there will still be availability for most of the evening so the 1% limit seems about right to me for an MP. For other single item loans, a higher limit may still be justified (the MPs appear to be the most popular type). IMO 1% should be the lowest and only where this provides a reasonable return for lenders. Once you move into lending silly amounts - mention no names - then it's really not worthwhile and the interest soon drains away IMO. If the platform applied the 1% to a 10k MP then the max lend would be £100 for a return over 6 months of just £6. Sure you'll still get those mini amounts filled but then when the platform tries to place something in a higher price range then many folks have walked elsewhere - so they often struggle and the platform needs to add extra incentives to get them filled. A fine balancing act.
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SteveT
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Post by SteveT on Jul 9, 2015 7:25:06 GMT
Still 2.7% remaining this morning.
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Post by Deleted on Jul 9, 2015 8:52:12 GMT
Looks about right now, moving forward Ed will have to modify as he goes. One thought would be to drive some sort of "drum beat" think a trireme and slaves rowing to a beat. So one day I hope we get to the point where every weekday we could have a loan at 4pm. Clearly getting to the state of 5 loans a week is a going to take some time, but the benefit of a regular drum beat is it helps Ed's team keep to a simple queue focus and helps us lenders keep the energy and focus on MT. Just a thought.  |
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james
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Post by james on Jul 9, 2015 11:12:01 GMT
Looks about right now, moving forward Ed will have to modify as he goes. One thought would be to drive some sort of "drum beat" think a trireme and slaves rowing to a beat. So one day I hope we get to the point where every weekday we could have a loan at 4pm. Clearly getting to the state of 5 loans a week is a going to take some time, but the benefit of a regular drum beat is it helps Ed's team keep to a simple queue focus and helps us lenders keep the energy and focus on MT. Just a thought. Do they really all have to start at 4PM, right in the middle of the night for some of us? Some might at least start at 4AM for the convenience of the night workers...  Same day of the week would be bad for similar reasons, people on shift work may be unavailable on specific days but available on others, so variety can make it easier for them to participate, particularly for rapidly filled loans. I think that the bid limit is too high right now. It appears that the loan will be filled in well under a day and a couple of days or so is more friendly. It's not as if there's any urgency about getting them filled that would cause a few days to be an issue. Not sure what Ed's target is but I hope it's at least a couple of days. A drum beat schedule would be a nice thing but not set time and day but pre-planned base schedule and extras on top to adjust to fit the supply or varying borrower demand levels would be handy. At lest, handy if it's not all in the middle of the night...
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Post by sterilized on Jul 9, 2015 15:32:50 GMT
As usual a great diversity of comments and it appears that Ed has got it spot on this time as there was only approx £750 left to fund with an hour to go. The remainder was hoovered up shortly after 4pm. However as the number of investors increases this would have surely filled by now. Scraggs made a very good point that he does not want loans to get to FS amounts and neither do I, it was for this very reason that despite registering with them I never invested any money. One of the reasons the managed portfolios are popular is that after the 6 months have expired investors have a chance to renew which encourages their loyalty. Moneything is still a relatively small lending platform and as I have previously stated will grow due to it’s first class customer service. The number of managed portfolios however will decrease as new Cash Shop loans will be used to replace those in the current managed portfolios. There will not be a never ending supply of “new” money coming from them. I have been an investor since week 1 and this is by far the best P2P platform. I like the idea of setting bid limits but don’t want to resort to fastest finger first therefore setting the bid limit correctly is vitally important, not to please everybody but to please the majority hence my original post. It may mean that bid limits change as the site evolves which is fine by me as this has been very successful so far, as long as they are put on every loan irrespective of their value and are not set too low. A very fine balancing act. It may be easier for Ed to keep pterodactyls !!! |
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Same day of the week would be bad for similar reasons, people on shift work may be unavailable on specific days but available on others, so variety can make it easier for them to participate, particularly for rapidly filled loans.