stevio
Member of DD Central
Posts: 2,065
Likes: 894
|
Post by stevio on Nov 20, 2015 8:29:36 GMT
Yep but SS has all its eggs piled into the property market (which is ultra frothy). I would take MT's spread of different types of loans any day. Actually its very stable, relative to say the stock market, that's why the ultra rich always have a large proportion of property in their portfolio Granted, it is only one asset class and you get diversification of assets with others, but you don't get the specialization as you do with SS (eg platform setup (SM and PF), experience in selecting borrowers and track record of low defaults, diversity of borrowers and loans within the property arena etc) Do you want to lend to a platform where this is their first bridging loan with no safety nets, just because they also do loans on cars/watches/gold OR with a platform that has done numerous bridging loans and has those safety features already built in?
|
|
arbster
Member of DD Central
Posts: 810
Likes: 426
|
Post by arbster on Nov 20, 2015 9:50:02 GMT
Do you want to lend to a platform where this is their first bridging loan with no safety nets, just because they also do loans on cars/watches/gold OR with a platform that has done numerous bridging loans and has those safety features already built in? I'd like to invest in both, please.
|
|
ramblin rose
Member of DD Central
“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
Posts: 1,370
Likes: 857
|
Post by ramblin rose on Nov 20, 2015 11:55:29 GMT
Yep but SS has all its eggs piled into the property market (which is ultra frothy). I would take MT's spread of different types of loans any day. Actually its very stable, relative to say the stock market, that's why the ultra rich always have a large proportion of property in their portfolio Granted, it is only one asset class and you get diversification of assets with others, but you don't get the specialization as you do with SS (eg platform setup (SM and PF), experience in selecting borrowers and track record of low defaults, diversity of borrowers and loans within the property arena etc) Do you want to lend to a platform where this is their first bridging loan with no safety nets, just because they also do loans on cars/watches/gold OR with a platform that has done numerous bridging loans and has those safety features already built in? Valid points in general stevio, that lenders should always consider, but in this particular case I feel you may be overlooking the experience of the people behind MT - just because the relatively new platform hasn't offered these types of loan, it isn't because the people running it don't have that experience - it just means their web-facing business is too new to have done so yet.
|
|
|
Post by Financial Thing on Nov 20, 2015 13:11:27 GMT
Yep but SS has all its eggs piled into the property market (which is ultra frothy). I would take MT's spread of different types of loans any day. Actually its very stable, relative to say the stock market, that's why the ultra rich always have a large proportion of property in their portfolio Granted, it is only one asset class and you get diversification of assets with others, but you don't get the specialization as you do with SS (eg platform setup (SM and PF), experience in selecting borrowers and track record of low defaults, diversity of borrowers and loans within the property arena etc) Do you want to lend to a platform where this is their first bridging loan with no safety nets, just because they also do loans on cars/watches/gold OR with a platform that has done numerous bridging loans and has those safety features already built in? These safety features you speak of are providing investors with a false sense of security. I received a nice email from Fruitful a few weeks ago saying they were closing their P2P investing operation and that we could expect to receive some of our money within 12 months once they find people to buy out the loans. They too had a provision fund. Nice. Personally I consider P2P investments a gamble knowing in the back of mind that any of these companies could close up their doors any day to never be heard of again. Trustbuddy anyone? So I don't consider these safety nets as much of a plus since I've never seen them at work once a company folds. Oh and nearly all SS loans are under the old structure so if that platform goes down, your money will likely go with it.
|
|
brush
Member of DD Central
Posts: 172
Likes: 154
|
Post by brush on Nov 20, 2015 14:30:35 GMT
Northern Rock, Lloyds, HBOS, RBS and others were supposed to be safe places to invest your money in, all supposed to have safety nets. Anywhere is a risk even under your bed
|
|
merlin
Minor shareholder in Assetz and many other companies.
Posts: 902
Likes: 302
|
Post by merlin on Nov 20, 2015 15:35:01 GMT
Actually its very stable, relative to say the stock market, that's why the ultra rich always have a large proportion of property in their portfolio Granted, it is only one asset class and you get diversification of assets with others, but you don't get the specialization as you do with SS (eg platform setup (SM and PF), experience in selecting borrowers and track record of low defaults, diversity of borrowers and loans within the property arena etc) Do you want to lend to a platform where this is their first bridging loan with no safety nets, just because they also do loans on cars/watches/gold OR with a platform that has done numerous bridging loans and has those safety features already built in? Valid points in general stevio, that lenders should always consider, but in this particular case I feel you may be overlooking the experience of the people behind MT - just because the relatively new platform hasn't offered these types of loan, it isn't because the people running it don't have that experience - it just means their web-facing business is too new to have done so yet. I am confused. I thought MT were just mortgage Brokers or have I got it wrong?
|
|
ramblin rose
Member of DD Central
“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
Posts: 1,370
Likes: 857
|
Post by ramblin rose on Nov 20, 2015 15:56:48 GMT
Valid points in general stevio, that lenders should always consider, but in this particular case I feel you may be overlooking the experience of the people behind MT - just because the relatively new platform hasn't offered these types of loan, it isn't because the people running it don't have that experience - it just means their web-facing business is too new to have done so yet. I am confused. I thought MT were just mortgage Brokers or have I got it wrong? If people thought I had experience only of watching tennis because that's what I happen to be doing now they'd be very much mistaken According to the mini CVs on the website at least one of the people in the team has experience in bridging finance; I may be misremembering here, but I thought Ed had mentioned in the past on the forum about having experience of commercial property lending.
|
|