KoR_Wraith
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Post by KoR_Wraith on Apr 11, 2016 19:48:47 GMT
Looks like I differ from most.
I've went as high as 50% in a single loan (the Wyk**am School loan on AC) because of the solidity of the security, although generally I cap loosely at 10%.
If I assessed 100's of available loans and found them to be of a similar quality to one another then I'd be happy with greater diversification, however, there's more bad than there is good and redirecting funds from a preferred to a lesser preferred loan doesn't sit well with me. I currently follow more of the "put all your eggs in one basket and watch it very carefully" approach. Diversification protects the downside, but also dilutes the upside. Diworsification, anyone?
I suppose it all comes back to risk/reward. I've still got most of my working years ahead of me and no dependents to support (yet!) so can afford to make mistakes/adopt a higher risk approach.
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KoR_Wraith
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Post by KoR_Wraith on Mar 30, 2016 9:57:25 GMT
I opted for this one instead of the MT offerings.
I'm waaaaaay overweight in property so appreciate the alternative nature of this loan. The amortising aspect makes me feel more comfortable with the security.
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KoR_Wraith
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Post by KoR_Wraith on Mar 23, 2016 22:17:02 GMT
Ahh, I see Yes, still a £5k minimum. Perhaps this will be reduced if a fully functional website is launched - I suspect the email-basis of the current operation is a strong incentive to keep the number of investors manageably low.
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KoR_Wraith
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Post by KoR_Wraith on Mar 23, 2016 22:01:13 GMT
5% isn't that great, can can get 10% elsewhere with some other platforms Some confusion here. Bridging Crowd loans are generally 11%, not sure where your 5% figure came from. The platform is currently managed through email. They email you the loan details, you reply with your bid amount (or leave unanswered if not interested), they confirm that your bid amount has been accepted (or presumably counter with a lower value if demand exceeds supply), you then have a few days to bank transfer the agreed amount into Bridging Crowd's account. They'll keep you updated as to when the loan goes live over the next few days and send you confirmation documents of your stake in the loan. No secondary market at present, loans held until maturity, monthly interest is paid into your nominated bank account. I signed up via the p2pmoney link a couple of months ago and received the £250 cashback with my first interest payment, no hassle - all email communication promptly responded to.
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KoR_Wraith
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FundingSecure (FS) in Administration
New Loans (FS)
Mar 23, 2016 14:06:26 GMT
Post by KoR_Wraith on Mar 23, 2016 14:06:26 GMT
New loan posted today: Loan Ref: 1181613562 - Property in Hillingdon
Currently the only available loan on FS that I'm interested in, very low security risk as far as I can tell.
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KoR_Wraith
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MoneyThing (MT) in Administration
How old?
Mar 17, 2016 21:43:01 GMT
Post by KoR_Wraith on Mar 17, 2016 21:43:01 GMT
46 years 0 months
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KoR_Wraith
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Post by KoR_Wraith on Feb 10, 2016 22:39:40 GMT
looking at the pre-funding levels do you think there is more then enough to cover it? if more approximately what percentage do you think we may get The risk of letting on how much is in the prefunding pot is that we will start to see games again. We are tempted to do the "bottom up" allocation over all the loans going forward which should be quite fair and stop people playing the system. Appreciate thoughts on that? I think it the fairest model. Have you considered a passive investment approach for the SM? I find Assetz Capital's system much preferable to the fastest-finger-first arrangement.
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KoR_Wraith
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Post by KoR_Wraith on Feb 5, 2016 23:07:15 GMT
My allocations for #228 and #229 hit my statement at 2027 and 2030 this evening. I got all I asked for, but that's no surprise because I asked for next to nothing. Did anyone here put in a buying instruction big enough to be limited by the maximum allocation for either of these loans? If so, would you mind telling us what the maximum allocations were? Got my full instruction for £3k on each, so max must have been above that. I'd imagine the low yield kept people away.
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KoR_Wraith
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Post by KoR_Wraith on Feb 2, 2016 14:34:03 GMT
Thanks to all for the helpful responses.
Final question: what happens if big loans like the one on Friday take an extended period of time to fill (or possibly even fails to fill?). Many platforms don't pay any interest until a loan has been fully filled, slightly concerned that a large bid could sit earning 0% for some time or be refunded with no gains if unfilled.
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KoR_Wraith
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Post by KoR_Wraith on Feb 1, 2016 23:58:50 GMT
Looking through the referenced thread it seems my £300 suggestion is a bit optimistic! Idle funds adjusted accordingly...
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KoR_Wraith
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Post by KoR_Wraith on Feb 1, 2016 23:31:59 GMT
The market uses (pioneered) a similar allocation system to that used by SS on their sub £1m loans. Each lender interested in investing in a loan is allocated an equal amount of that loan, and where that is more than the lender wants to invest that excess is split equally amongst other lenders. This system is used every time anyone sells any part of a loan. So there is no fastest finger first, no having to watch loans for activity, no gaming the system by setting targets much higher than your desired investment level, etc. Thanks for that. Are you able to provide an approximate figure that an individual investor may be allocated at initial drawdown for eg. a £200k loan? Obviously every loan has a different level of demand but broadly speaking would a £1k allocation on such a loan be unusually high? Would £300 be more 'normal'? I'm trying to gauge the amount of idle funds I should have available as the upcoming batch of loans becomes available.
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KoR_Wraith
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Post by KoR_Wraith on Feb 1, 2016 15:15:24 GMT
Didn't want to make a new thread for this simple question:
How is prefunding allocated at AC?
Does it work on the latest SS model of giving an average amount to most investors, does it work out allocations based on a % of your bid, etc?
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KoR_Wraith
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Post by KoR_Wraith on Jan 13, 2016 16:18:21 GMT
I wonder whether second hand cars are the most popular security even at 50% LTV (of trade price?), so I got my six moderate bids in during the first minute and a half or so. Slick website for taking the bids! The asset values on the cars reflect optimistic dealer prices in my opinion, but with a stated 50% LTV there's a large safety margin to keep me happy. I think 60-65% LTV is more realistic, worsening slightly as time goes on due to depreciation. I bid my full allocation.
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