nw99
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Post by nw99 on Jun 20, 2017 21:11:58 GMT
70% filled already
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Post by dan1 on Jun 20, 2017 22:47:05 GMT
Remember the generator loan? Filled within a minute or two. Admittedly, less than a quarter of the size but still.
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nw99
Posts: 340
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Post by nw99 on Jun 21, 2017 4:49:44 GMT
Yes I applied for that one size was a good deal smaller
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stevio
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Post by stevio on Jun 21, 2017 6:38:02 GMT
Remember the generator loan? Filled within a minute or two. Admittedly, less than a quarter of the size but still. I dont think quoting a much smaller loan that filled in a few minutes is relevant or helps here. That post could be seen to encourage maybe (less experienced) investors to feel there is a much shorter time period to invest in this loan and make snap and ill informed decisions This loan has been on AB for several DAYS now, not minutes It is only 2/3 full, there is still another 1/3 to fund (125k) available
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Post by notsocool on Jun 21, 2017 21:48:49 GMT
Hi - I'm newish to Ablrate and making some very modest investments while i test the waters and build up my knowledge (this board is invaluable - thanks!). Wondering what sort of house I'd need to be living in before I owned a yacht, I street viewed the borrowers address. Not exactly what I was expecting! What's going on there?
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metoo
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Post by metoo on Jun 21, 2017 23:15:41 GMT
Now you know how to afford a boat.
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blender
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Post by blender on Jun 22, 2017 8:11:55 GMT
86% this morning. Very good. This could be my last day of instant returns. It would be nice to allow the SM to recover its liquidity.
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nw99
Posts: 340
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Post by nw99 on Jun 22, 2017 9:15:54 GMT
Agreed and plenty of buyers in the secondary market for other loans.
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Post by elephantrosie on Jun 22, 2017 10:42:12 GMT
why is it generally a bad idea to invest in p2p yacht loans?
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elliotn
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Post by elliotn on Jun 22, 2017 11:21:00 GMT
why is it generally a bad idea to invest in p2p yacht loans? Wiser owls than me will recall difficulties on platforms in recoveries on some floaty loans. For this loan hazel has emphasised that annual shareholder (plus charter hire) cash injections are greater than expected yacht depreciation rates.
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blender
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Post by blender on Jun 22, 2017 12:24:18 GMT
why is it generally a bad idea to invest in p2p yacht loans? I don't think it is generally a bad idea. We are not investing in the yacht, just lending on it as the main security. Yachts are not real property, such as land and buildings, but chattels, and values are not so secure. Our security is not limited to the boat, and as long as the insurance is secure for all eventualities then it seems good enough to provide some diversity in lending. The rate reflects the risk, and note that Ablrate is taking 4% pa plus 2% up front which with our 14% equates to around 20% for the borrower. I do like to see an income stream for this particular niche platform, which reduces platform risk.
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david42
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Post by david42 on Jun 22, 2017 13:14:48 GMT
Ablrate is one of the few platforms that declares their fees. The figures are in the table on page 7 of the downloadable borrowing proposal. Ablrate fees are 4.5% pa + 2% on top of our 14% pa.
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Post by Deleted on Jun 22, 2017 13:27:40 GMT
why is it generally a bad idea to invest in p2p yacht loans? You have to ask a few basic things on income 1) Does it generate an income stream, is there much competition for that income stream and is there a business like focus on the income stream? 2) Is this the main owners main business? 3) What are the costs to maintain the business in income-ready mode? on capital 4) Is this a fashion product, ie does the capital value reduce due to fashion's whims suddenly? 5) Are there major possible costs that could make the capital hard to recover? 6) Are there possible market places changes that would make the capital hard to recover? 7) what other "assets" have been promised along with the capital goods? Since, in this case the answers appear to be 1, yes, yes, no 2) no 3) high 4) possibly 5) yes 6) yes 7) yes but go look at them. Now I think that is too high a risk to touch, but hey, your money.
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hazellend
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Post by hazellend on Jun 22, 2017 13:31:57 GMT
why is it generally a bad idea to invest in p2p yacht loans? Now I think that is too high a risk to touch, but hey, your money. There is a significant amount of risk for sure but that is why this loan pays 14%.
The fact the loan is amortising decreases the risk as well.
My money is in (albeit at my 1% of P2P pot which I use for higher risk investments rather than the usual 2%)
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stevio
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Post by stevio on Jun 22, 2017 14:09:07 GMT
why is it generally a bad idea to invest in p2p yacht loans? You have to ask a few basic things on income 1) Does it generate an income stream, is there much competition for that income stream and is there a business like focus on the income stream? 2) Is this the main owners main business? 3) What are the costs to maintain the business in income-ready mode? on capital 4) Is this a fashion product, ie does the capital value reduce due to fashion's whims suddenly? 5) Are there major possible costs that could make the capital hard to recover? 6) Are there possible market places changes that would make the capital hard to recover? 7) what other "assets" have been promised along with the capital goods? Since, in this case the answers appear to be 1, yes, yes, no 2) no 3) high 4) possibly 5) yes 6) yes 7) yes but go look at them. Now I think that is too high a risk to touch, but hey, your money. Sorry Bobo, no offence meant , but I think your still evaluating this as a business when it is more of a personal loan with a relatively small amount of income Yes the borrower is an SPV, but the adopted structure is mainly to allow a loan from AB and trading is incidental Therefore the income is not that relevant, the PG is the most significant linked with the significance of the other shareholders and then secondary the boat itself The LTV is protected and reduced during term by the amortisation and that also makes the loan more desirable in the later years However this loan has potential to do very well or go very bad. This loan comes down to a punt on whether you feel the shareholders will default, similar to a football stadium loan on MT
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