gnasher
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Post by gnasher on Jul 29, 2015 14:49:01 GMT
..... when 3 year rate is higher than 5! _ guess where my money is going. - - - - Perhaps we can use this thread for any general commments on the RS market rates now that the CB is history
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gnasher
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Post by gnasher on Jul 29, 2015 16:18:19 GMT
You do realise you've just created a new snapshot thread of info we can all see anytime we want. Yeh, but at least you can read it without opening it ......and it is quite interesting, ......and just one snapshot from me, honestly, ..... and snapshots non mandatory in any further discussion ..... and I felt it was time to abandon that last thread! Otherwise guilty as charged
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Post by cautious on Jul 29, 2015 16:44:40 GMT
Yes, 5 yr. auto re-investment switched off....moving into 3 yr and about to dabble in Money Thing.
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teddy
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Post by teddy on Jul 29, 2015 17:52:00 GMT
3hrs later and the 3yr is down to 4.8%. Now, I wonder how that happened. . . . .
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spiral
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Post by spiral on Jul 29, 2015 18:02:31 GMT
3hrs later and the 3yr is down to 4.8%. Wot no screenshot
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jonah
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Post by jonah on Jul 29, 2015 19:16:07 GMT
If RS is aiming for boring, a 1% swing in rates in a few hours is far from it. I personally put my recent payments on At 5.8% on 3yr this morning and they went at a time pretty close to the screen shot above, but that was more luck than judgement I suspect (I debated 5.9 but figured it unlikely).
i didn't actually think I would get it away today, but thought tomorrow more likely.
so on that front I'm happy. Looking at the current rates / offers, if I had some cash to put on I wouldn't have a clue right now. Obviously one answer is to pick a number I'm ok with and wait, but I would prefer to have a view something along the lines of knowing my cash would go within the next 1-2 days or the next week at the outside. Currently this feels too random to me.
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locutus
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Post by locutus on Jul 29, 2015 21:00:01 GMT
Definitely too much volatility for a retail market. RS need to smooth things out as the market is clearly not working efficiently at the moment. More information and less bulk matching would be a start.
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c88dnf
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Post by c88dnf on Jul 30, 2015 0:25:25 GMT
My 2p worth: the change in YR algorithm and disruption caused by the cashback offer are still rippling through the markets. IMHO, the bad news for RS long-term is that this month's volatility has made longstanding investors (such as me) stop treating RS as a "hands off" investment platform. I'm now checking RS daily rather than weekly and for the past 4 weeks have been actively disinvesting as the 3/5 year rates simply aren't competitive. To put a perspective on that, over 5% of my investment has been withdrawn in those 4 weeks and more will go each day if rates stay low. Once trust is lost, it takes a lot to restore it....
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gnasher
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Post by gnasher on Jul 30, 2015 4:55:39 GMT
Definitely too much volatility for a retail market. RS need to smooth things out as the market is clearly not working efficiently at the moment. I agree, but I do not think this is a CB issue. Remember we were getting 1% swings in rates in 24hrs before CB too. During those heady days when you could get 6.8 over 5 years by waiting for a day or two, the rates was frequently dropping below 6% and we were all complaining about the "5.9 bomber dropping another payload" in the "Are rates being manipulated down" thread, and scratching our heads as to why someone with so much money was so stupid to put it on at such a low rate. It did not used to be like that! My memory may be failing me but I seem to recall a time when a .3% swing in a week was a bit of an event! A market can only work smoothly if people understand it and have a feel for it. That is clearly not the case here. Perhaps the reason is that RS have so many new (and old!) customers who do not have a feel for the market, who are therefore behaving irrationaly, with a very lumpy and volatile result. If not that - well I have no idea. But RS certainly fails the "boring" test!
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locutus
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Post by locutus on Jul 30, 2015 7:07:57 GMT
Definitely too much volatility for a retail market. RS need to smooth things out as the market is clearly not working efficiently at the moment. I agree, but I do not think this is a CB issue. Remember we were getting 1% swings in rates in 24hrs before CB too. During those heady days when you could get 6.8 over 5 years by waiting for a day or two, the rates was frequently dropping below 6% and we were all complaining about the "5.9 bomber dropping another payload" in the "Are rates being manipulated down" thread, and scratching our heads as to why someone with so much money was so stupid to put it on at such a low rate. It did not used to be like that! My memory may be failing me but I seem to recall a time when a .3% swing in a week was a bit of an event! A market can only work smoothly if people understand it and have a feel for it. That is clearly not the case here. Perhaps the reason is that RS have so many new (and old!) customers who do not have a feel for the market, who are therefore behaving irrationaly, with a very lumpy and volatile result. If not that - well I have no idea. But RS certainly fails the "boring" test! Not sure why my quote is only partial but I also think that more information and less bulk matching would help create a more efficient market. The matching requires more transparency.
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Post by jackpease on Jul 30, 2015 7:22:25 GMT
>>>>But RS certainly fails the "boring" test!
I like some excitement! I enjoyed Assetz when there was excitement and find it dull now. Zopa zzzzzzzzzzzzz. Wellesley zzzzzzzzzzzzzz. Landbay zzzzzzzzzzzzzzz. Savingstream is where the excitement is now - the thrill of the hunt once you get that text - repeated hammering of the refresh button to get some action...
If Ratesetter does a cashback and rates dip we can chill and just invest elsewhere for a month - and then return to something that has life and soul and the capacity to surprise... all the while relatively low risk c/f other p2p players
Jack P
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Post by nickthefool on Jul 30, 2015 9:26:36 GMT
I agree, but I do not think this is a CB issue. Remember we were getting 1% swings in rates in 24hrs before CB too. During those heady days when you could get 6.8 over 5 years by waiting for a day or two, the rates was frequently dropping below 6% and we were all complaining about the "5.9 bomber dropping another payload" in the "Are rates being manipulated down" thread, and scratching our heads as to why someone with so much money was so stupid to put it on at such a low rate. It did not used to be like that! My memory may be failing me but I seem to recall a time when a .3% swing in a week was a bit of an event! A market can only work smoothly if people understand it and have a feel for it. That is clearly not the case here. Perhaps the reason is that RS have so many new (and old!) customers who do not have a feel for the market, who are therefore behaving irrationaly, with a very lumpy and volatile result. If not that - well I have no idea. But RS certainly fails the "boring" test! Not sure why my quote is only partial but I also think that more information and less bulk matching would help create a more efficient market. The matching requires more transparency. I like the simplicty of RS. They have the provision fund which guarantees your money (at least, unless something happens to the platform. I suspect it won't last long if the PF stops paying out), so the only real risk of losing capital is platform risk. This makes borrower info irrelevant, so they don't provide it. Fair enough, and great for folks who don't have the time/inclination to do DD on every loan anyway. However, this also makes it difficult to assess the rate you want, since the risk of RS failing is fairly opaque, and other than that risk you are essentially just trying to get the best rate you can for your cash. For all we know as lenders, RS could take on some lower-risk borrowers, meaning we should be happier accepting lower rates. Or the opposite could be true. It might be available somewhere on the website, but I wasn't able to find it - does anyone know how the borrower offers are decided? Do RS set them or once they are approved do borrowers essentially see the same market we do as lenders and set their offer accordingly?
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spiral
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Post by spiral on Jul 30, 2015 10:42:36 GMT
does anyone know how the borrower offers are decided? Do RS set them or once they are approved do borrowers essentially see the same market we do as lenders and set their offer accordingly? AIUI, yes they see the same as us. The difference MR Safe gets over Mr Risky is their fees so they both get say a £5000 loan at 6% but Mr Safe pays a much lower fee (some of which goes into the PF) and therefore has a much lower APR. In reality, most if not all of these fees will get added to the loan so Mr Safe may owe £5250 for their £5000 and Mr Risky owes £6500 for their £5000 and this is where the difference between the amount they pay each month will come in to play albeit both paying the rate of interest that we set or are prepared to match if they place them lower.
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Post by nickthefool on Jul 30, 2015 11:06:08 GMT
Okay, thanks.
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Post by p2plender on Jul 30, 2015 12:00:18 GMT
Platform risk.....
So if the site crashes n burns we lose our dollars?
Surely we've lent to individuals not the platform?
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