archie
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Post by archie on Oct 25, 2017 15:11:28 GMT
Is that a hint or a guess? A guess and an observation that forum restrictions mean that many useful posts will not be able to be posted on this forum. Posting what looks like a hint causes more panic selling.
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duck
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Post by duck on Oct 25, 2017 15:14:40 GMT
The sheeple effect..... I havent seen anything to worry me unduly, i've topped up in the past few days. So have I and I have no regrets. One of the many benefits of the site of this loan is that it is open for all to see ..... as can be seen from the photos that have been posted. Progress has been made in clearing the site so nobody can say they can't see where the money is currently being spent. Sheeple (IMHO) describes the situation perfectly. If this is a reaction to the recent defaults try looking at it in another way. Prompt action has been taken by MT. Sometimes platforms can't win. Default promptly and 'investors' loose confidence and dump loans. Don't default (even when the loan term has long past) and the platform is slammed on this forum.
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m2btj
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Post by m2btj on Oct 25, 2017 15:15:23 GMT
I suspect someone might know, though the answer to such a question would most probably involve identifying the borrower, so they won't be posting it here. Is that a hint or a guess? The developer is the regeneration arm of a well established firm of architects. Everything I've seen to date has been more than professional & they have been involved in some major development projects in Liverpool & Manchester. The LTV appears to be realistic & the fact that the development lies on the fringe of Liverpool's commercial district should give future sales a huge uplift. There are a small number of MT loans I have invested heavily in & this is one. I was struggling to pick up additional parts on the SM last week & now there's stampede for the exit. They say that markets often work on rumour & irrational forces & P2P is no different. If we introduce discounting on the SM we can do the same as the FTSE...talk a share down today & buy it tomorrow at a discount!
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fp
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Post by fp on Oct 25, 2017 15:29:27 GMT
Is that a hint or a guess? The developer is the regeneration arm of a well established firm of architects. Everything I've seen to date has been more than professional & they have been involved in some major development projects in Liverpool & Manchester. The LTV appears to be realistic & the fact that the development lies on the fringe of Liverpool's commercial district should give future sales a huge uplift. There are a small number of MT loans I have invested heavily in & this is one. I was struggling to pick up additional parts on the SM last week & now there's stampede for the exit. They say that markets often work on rumour & irrational forces & P2P is no different. If we introduce discounting on the SM we can do the same as the FTSE...talk a share down today & buy it tomorrow at a discount!This is why it shouldn't happen, too many fickle investors will lose their shirts
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hazellend
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Post by hazellend on Oct 25, 2017 15:34:28 GMT
If you find yourself panic selling based on a random non fact based forum post, then you seriously shouldn't be investing in P2P.
The fact is, that many loans will go bust over your investing lifetime, and you may not get all your capital back (or on some loans on Lendy, nothing!).
If you invest in the stock market, you capital can drop 50% in a year, and will hopefully come back. i I've been doing this for 3 years now, and have made a lot of money, but there are going to some very bad years in the future, during recessions and property crashes, so I expect there will be some years where I lose a lot of money.
Edited to add: Just checked my Equity holdings today, I hold only one ETF Vanguard All World, and it is down 1.69% in one day.
A lot of people would be better off with mostly cash/gov bonds and a sprinkling of shares/P2P to try and keep up with inflation.
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r00lish67
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Post by r00lish67 on Oct 25, 2017 16:39:38 GMT
The developer is the regeneration arm of a well established firm of architects. Everything I've seen to date has been more than professional & they have been involved in some major development projects in Liverpool & Manchester. The LTV appears to be realistic & the fact that the development lies on the fringe of Liverpool's commercial district should give future sales a huge uplift. There are a small number of MT loans I have invested heavily in & this is one. I was struggling to pick up additional parts on the SM last week & now there's stampede for the exit. They say that markets often work on rumour & irrational forces & P2P is no different. If we introduce discounting on the SM we can do the same as the FTSE...talk a share down today & buy it tomorrow at a discount!This is why it shouldn't happen, too many fickle investors will lose their shirts I, of course, am duty bound to respond We have the ability to both add discounts and premiums on FundingSecure + AblRate, and I can't recall anyone complaining about having been duped by 'fake news' on the forum for these platforms. Also, discounts rarely go over 1% these days on those platforms, so it's hardly rich pickings for anyone who wanted to try to profit from it. I bet Liverpool wouldn't even have to go to -0.3% to clear out to be honest given the lack of any visible bad news. I don't see why people can't be grown-ups about it and be allowed to buy and sell at the actual market price rather than this ridiculous situation when Johnny big-funds sells up his holding in one loan to buy a caravan and just by the act of doing so triggers an SM stampede destroying all liquidity. NB - I do accept that there is scope for gouging by traders snapping up loans where premiums are allowed. Plenty of threads about that!
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Post by charlata on Oct 25, 2017 17:09:19 GMT
This is why it shouldn't happen, too many fickle investors will lose their shirts I'd say quite the opposite is true. If prices can be altered, supply and demand will align. As things stand the sm is highly erratic: any hint of selling leads nervous investors to assume there's a problem, and a vicious circle ensues. Judging by the poll on here, MT seems to have found a niche with investors who want very high rates combined with a very simple investment model, including an sm with no mechanism to curtail panics. If this loan was currently trading at a discount, bigger and more mature investors, who've gone to the trouble of researching the loan, would be piling in and the queue would shrink to nothing. As it is, who wants to buy in to loans when liquidity could dry up at any point for no good reason at all? If people are investing in loans they don't understand, they'll lost their shirts in any case. I'd say MT needs to reflect on the recent panics, and think about the stability that comes with attracting a greater diversity of investors.
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mary
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Post by mary on Oct 25, 2017 17:19:23 GMT
This is why it shouldn't happen, too many fickle investors will lose their shirts I'd say quite the opposite is true. If prices can be altered, supply and demand will align. As things stand the sm is highly erratic: any hint of selling leads nervous investors to assume there's a problem, and a vicious circle ensues. Judging by the poll on here, MT seems to have found a niche with investors who want very high rates combined with a very simple investment model, including an sm with no mechanism to curtail panics. If this loan was currently trading at a discount, bigger and more mature investors, who've gone to the trouble of researching the loan, would be piling in and the queue would shrink to nothing. As it is, who wants to buy in to loans when liquidity could dry up at any point for no good reason at all? If people are investing in loans they don't understand, they'll lost their shirts in any case. I'd say MT needs to reflect on the recent panics, and think about the stability that comes with attracting a greater diversity of investors. Highly liquid stock markets often exhibit irrational and heard behaviour, discounts would just further encourage that. The point you are missing is that P2P exists to fund loans more efficiently than other avenues while offering those willing to take the risks higher returns. SMs are not a necessary part of P2P, but are clearly useful when a need arises to cash out early - but an SM does not exist to encourage flippers or short termists, every investor should always be comfortable with holding to term and mitigating risks through diversification.
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Oct 25, 2017 17:24:32 GMT
Quite so mary.
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r00lish67
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Post by r00lish67 on Oct 25, 2017 17:30:07 GMT
I'd say quite the opposite is true. If prices can be altered, supply and demand will align. As things stand the sm is highly erratic: any hint of selling leads nervous investors to assume there's a problem, and a vicious circle ensues. Judging by the poll on here, MT seems to have found a niche with investors who want very high rates combined with a very simple investment model, including an sm with no mechanism to curtail panics. If this loan was currently trading at a discount, bigger and more mature investors, who've gone to the trouble of researching the loan, would be piling in and the queue would shrink to nothing. As it is, who wants to buy in to loans when liquidity could dry up at any point for no good reason at all? If people are investing in loans they don't understand, they'll lost their shirts in any case. I'd say MT needs to reflect on the recent panics, and think about the stability that comes with attracting a greater diversity of investors. Highly liquid stock markets often exhibit irrational and heard behaviour, discounts would just further encourage that. Take a look at the FundingSecure SM - there simply are not huge discounts applied without very good reason, because the market re-adjusts quickly. Out of hundreds of loans there (and some quite 'interesting') , there isn't currently one trading at lower than a 0.7% discount, hardly dramatic.The point you are missing is that P2P exists to fund loans more efficiently than other avenues while offering those willing to take the risks higher returns. If MT didn't add 1% cashback to Newcastle, it wouldn't have filled in time. What's the difference between that initial market mis-price (swiftly adjusted) and an SM re-price? SMs are not a necessary part of P2P, but are clearly useful when a need arises to cash out early - but an SM does not exist to encourage flippers or short termists, every investor should always be comfortable with holding to term and mitigating risks through diversification. An SM without premiums limits flippers almost completely (cashback doesn't). IMV, all platforms need short-termists as well as long-termists so that they can get loans filled. My replies in blue above
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jjc
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Post by jjc on Oct 25, 2017 17:36:18 GMT
It's been rubblised.Despite 2 or 3 reads of that I keep seeing "it's being rubbished" Please turn me over. Thanks for the pics, me quite happy when progress is being made.
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dovap
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Post by dovap on Oct 25, 2017 17:42:55 GMT
yep expensive pile of rubble atm
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elliotn
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Post by elliotn on Oct 25, 2017 17:50:09 GMT
Presumably only Freud will know why I read it as rubberised.
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toffeeboy
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Post by toffeeboy on Oct 25, 2017 18:03:48 GMT
Highly liquid stock markets often exhibit irrational and heard behaviour, discounts would just further encourage that. Take a look at the FundingSecure SM - there simply are not huge discounts applied without very good reason, because the market re-adjusts quickly. Out of hundreds of loans there (and some quite 'interesting') , there isn't currently one trading at lower than a 0.7% discount, hardly dramatic.The point you are missing is that P2P exists to fund loans more efficiently than other avenues while offering those willing to take the risks higher returns. If MT didn't add 1% cashback to Newcastle, it wouldn't have filled in time. What's the difference between that initial market mis-price (swiftly adjusted) and an SM re-price? SMs are not a necessary part of P2P, but are clearly useful when a need arises to cash out early - but an SM does not exist to encourage flippers or short termists, every investor should always be comfortable with holding to term and mitigating risks through diversification. An SM without premiums limits flippers almost completely (cashback doesn't). IMV, all platforms need short-termists as well as long-termists so that they can get loans filled. My replies in blue above But you are missing the whole point of P2P which is what Mary is trying to explain to you, these aren't loans that are purchased to be traded as and when. It is about doing your DD and investing in loans that you are happy to hold to settlement. The SM's were generally founded to allow investors access to their money in the cases when they needed it back before the loan was settled not as a means of making more money from newcomers to the site which is generally who buys from the SM.
This disagreement runs and runs, see any conversation between GeorgeT and Cool Dude who sit on opposite sides of the fence on the SM debate.
In my opinion to start offering discounts then you are stepping close to banking/trading realms and the fact that P2P hit against bankers is exactly why I first started investing the small spare cash I had at the time.
Do you think that people hate their bank manager who helps to arrange a loan for them or the guys that then trade on those debts in the background??? I don't want to see P2P become involved with anyone trying to make a quick buck.
Cash back is sometimes necessary to get a loan filled, discount trading isn't. Cash back is a cheaper alternative to underwriters before anyone mentions that.
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Post by dan1 on Oct 25, 2017 18:08:38 GMT
... Edited to add: Just checked my Equity holdings today, I hold only one ETF Vanguard All World, and it is down 1.69% in one day. A lot of people would be better off with mostly cash/gov bonds and a sprinkling of shares/P2P to try and keep up with inflation. because of the strengthening pound as a result of the GDP figures and therefore making an interest rate rise more likely. Good for the economy although I note the construction sector is now in recession, not so good for P2P property lending.
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