kermie
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Post by kermie on Oct 3, 2017 22:09:10 GMT
I find myself sitting on more and more cash (i.e. not investing), and frankly being comfortable about "missing out" on "opportunities".
My P2P pot is now about 6% cash, 94% invested; historically I have run a much tighter ship (<1% cash) and tried to minimize cash drag.
Am I just getting wiser (I wish!)? Or are good loans becoming harder to sniff out? I certainly feel like I just let many new loans pass me by now.
What sort of cash levels are you holding, and how does that compare to the past 2-3 years?
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SteveT
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Post by SteveT on Oct 3, 2017 22:14:44 GMT
I'm the same (currently 5%+ in cash versus a typical 0-1% historically). But every year is broadly similar, as it takes until October for all the WIP deals that got shoved in a drawer when the valuers / surveyors / lawyers hit the beach in August to trundle their way through the process. I imagine I'll be fully invested again within 4-6 weeks, but where, I know not ....
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hazellend
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Post by hazellend on Oct 3, 2017 22:31:44 GMT
0% cash, oops!
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ali
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Post by ali on Oct 3, 2017 22:55:43 GMT
-13% cash (expecting a number of repayments early Oct).
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Post by Deleted on Oct 4, 2017 7:16:39 GMT
We are in the drought after the August break.
Missing deals should make you feel comfortable. If in doubt about you selection process just drop £1 in each one you didn't like and monitor. £1 to test you knowledge seems cheap.
I'm finding that the few loans coming through are just enough to soak up interest payments and spreading out the diversification thing very well.
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Post by beeje13 on Oct 4, 2017 9:34:01 GMT
Sometimes the best thing you can do is nothing.
Still good options at the lower risk, lower return end though.
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Post by andyt on Oct 5, 2017 14:42:37 GMT
Still good options at the lower risk, lower return end though. I'd be interested to know which providers/products you're thinking of. I'm looking for something at the lowest end of P2P risk, with easy/quick access to money when required. I already have a little in RS Rolling but wondered who else might tick these boxes? I have a good amount of cash in high interest current accounts and regular savers too. Thanks in advance, Andy.T
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Post by df on Oct 5, 2017 15:01:40 GMT
Still good options at the lower risk, lower return end though. I'd be interested to know which providers/products you're thinking of. I'm looking for something at the lowest end of P2P risk, with easy/quick access to money when required. I already have a little in RS Rolling but wondered who else might tick these boxes? I have a good amount of cash in high interest current accounts and regular savers too. Thanks in advance, Andy.T AC's QAA or 30-DAA, GS, Zopa, Landbay - might be worth looking at.
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hendragon
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Post by hendragon on Oct 5, 2017 15:39:54 GMT
my cash levels have increased by something like 25%. Several reasons for this. It does seem that there is a great deal of borrowing/credit in the economy at the moment, and I get the feeling there might be too much capital chasing too few creditworthy borrowers. Also a little uneasiness about where on earth the Brexit debacle will end up.
Rather than look at my p2p pot as a whole I have adopted a strategy for relative risk for each of the platforms I invest in. A very good platform will allow me to invest up to 100% of original capital against interest received. 50% of captal and 50% interest rec'd for a platform that might have had a "little wobble". 0 original capital and interest rec'd only for some sites, and of course OMG its time to get everything out of this one.
Any new site involves drip-feeding until a sensible (IMHO) ratio of interest rec'd to original capital can be acheived.
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Post by df on Oct 5, 2017 19:43:38 GMT
I find myself sitting on more and more cash (i.e. not investing), and frankly being comfortable about "missing out" on "opportunities". My P2P pot is now about 6% cash, 94% invested; historically I have run a much tighter ship (<1% cash) and tried to minimize cash drag. Am I just getting wiser (I wish!)? Or are good loans becoming harder to sniff out? I certainly feel like I just let many new loans pass me by now. What sort of cash levels are you holding, and how does that compare to the past 2-3 years? Probably at around 1%  It would be quite tricky to calculate the proportion as it changes all the time across platforms. I always make sure that I have some idle cash in Unbolted, otherwise there is very little chance to be invested. For some platforms with instant deposit (Ly, Col, MT, Abl, FC, LC etc.) I don't see any point in keeping idle funds. But with GS or BM we don't have much choice. It is not easy to distinguish between good and bad loans, especially when the available info is very limited. My current strategy is to focus on quantity rather than quality and risk/return ratio I'm comfortable with.
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Post by beeje13 on Oct 6, 2017 18:11:14 GMT
Still good options at the lower risk, lower return end though. I'd be interested to know which providers/products you're thinking of. I'm looking for something at the lowest end of P2P risk, with easy/quick access to money when required. I already have a little in RS Rolling but wondered who else might tick these boxes? I have a good amount of cash in high interest current accounts and regular savers too. Thanks in advance, Andy.T LendingWorks has just increased its 5 year rate to 5.5%. I have my ISA with them. Prime borrowers, provision fund AND insurance. Landbay is easier to get your money invested quickly than it used to be. Just above 3% interest though. If Growth Street sort their lender/borrower imbalance then that's worth considering. If (or when) the rate drops to 5% it's still competitive because the risk is low. Assetz capital 5.5% property secured account houses their lowest risk loans.
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It would be quite tricky to calculate the proportion as it changes all the time across platforms. I always make sure that I have some idle cash in Unbolted, otherwise there is very little chance to be invested. For some platforms with instant deposit (Ly, Col, MT, Abl, FC, LC etc.) I don't see any point in keeping idle funds. But with GS or BM we don't have much choice.