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Post by bengilbert on Apr 12, 2016 18:34:28 GMT
Tranche 1 of the Sandbanks loan filled today. First of all, I want to say thank you to everyone who invested. I'm well aware that p2p lenders have had plenty to choose from over the last couple of weeks. We're very appreciative that so many of you put money into this deal.
Tranche 2 will be launched in the next day or two. We were approached by a private investor who wished to make a buy-and-hold investment of £250,000 into the loan, and so tranche 2 has been scaled back from £500,000 to £250,000.
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Post by Deleted on Apr 13, 2016 7:11:24 GMT
Communication is a great thing, thanks.
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ben
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Post by ben on Apr 13, 2016 13:32:23 GMT
That is quite a large investor will they be looking to do similar in future loans? Also do you 5% include the full amount of the loan or what is left after the private investor
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Post by bengilbert on Apr 13, 2016 14:52:02 GMT
That is quite a large investor will they be looking to do similar in future loans? Also do you 5% include the full amount of the loan or what is left after the private investor We can't speak to their future plans but they will not be making investments via MoneyThing and so it will not affect loans that you see listed on the platform. It remains the case that MoneyThing have a right of first refusal on any loans meeting their criteria, so loans get shown to the platform before other investors. The 5% applies only to investments listed on MoneyThing, and is there solely for the protection of MoneyThing investors (no other investors would have a claim on this money). Hope that helps.
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spiral
Member of DD Central
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Post by spiral on Jul 25, 2016 7:34:38 GMT
The 5% applies only to investments listed on MoneyThing, and is there solely for the protection of MoneyThing investors (no other investors would have a claim on this money). Hope that helps. Just looking at this and I'm a little confused. The LTV seems to assume that the whole 2m lent has 5% on a first loss basis, not just the 750K lent by MT. Not 100% sure of the maths but I think that for a 100% recovery of the 2m lent, we at MT require that: 1.25m + (0.75m x 0.95) = 1.9625m is recovered therefore LTV = 1.9625/3.26 = 62.1% The stated LTV is calculated as (1.25+0.75)*.95 = 1.9m recovered therefore LTV = 1.9/3.26 = 60.1% Or am I misunderstanding the calculation behind the LTV.
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Post by bengilbert on Jul 25, 2016 8:46:06 GMT
The 5% applies only to investments listed on MoneyThing, and is there solely for the protection of MoneyThing investors (no other investors would have a claim on this money). Hope that helps. Just looking at this and I'm a little confused. The LTV seems to assume that the whole 2m lent has 5% on a first loss basis, not just the 750K lent by MT. Not 100% sure of the maths but I think that for a 100% recovery of the 2m lent, we at MT require that: 1.25m + (0.75m x 0.95) = 1.9625m is recovered therefore LTV = 1.9625/3.26 = 62.1% The stated LTV is calculated as (1.25+0.75)*.95 = 1.9m recovered therefore LTV = 1.9/3.26 = 60.1% Or am I misunderstanding the calculation behind the LTV. Morning, The 5% first loss tranche that we hold applies only to the MT investment. Here's one way of looking at the calculation: -MT has lent £750,000, of which (750000 * 0.05) = £37,500 is from Broadoak. -as part of total lending of £2,000,000, MT has a claim on (750,000/2,000,000)= 37.5% of the security -for MT lenders to recover 100% of capital, they need to recover (750,000-37,500)=£712,500 -so 37.5% of the security has to be worth £712,500 for lenders to recover 100% of capital -so the total security has to be worth (712,500/0.375)=£1,900,000 -which gives an LTV of (1,900,000/3,160,000)=60.1% Hope that helps make things clearer.
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Post by bengilbert on Jul 25, 2016 8:48:54 GMT
A quick follow-up: the key point is that Broadoak's 5% first loss holding is NOT a second charge subordinated to ALL the first charge holders. I think that's where the confusion may have come from.
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spiral
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Post by spiral on Jul 25, 2016 8:58:44 GMT
I did wonder why someone more clued up than me hadn't already queried it. At least I had all the right numbers, even if they were used in the wrong order.  |
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jonno
Member of DD Central
nil satis nisi optimum
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Post by jonno on Jul 25, 2016 11:03:09 GMT
I did wonder why someone more clued up than me hadn't already queried it. At least I had all the right numbers, even if they were used in the wrong order. Cue: Mr A. Preview. 
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