Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 16, 2019 13:34:38 GMT
Hi am I missing something here ? Since yesterday Lytham and Pagefield cannot be sold or mark to renew and nothing on secondary market. There is no update as to why.
Anyone know why ?
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SteveT
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Post by SteveT on Feb 16, 2019 16:08:13 GMT
Oh dear, I trust you hadn’t gone beyond your much-mentioned diversification limit on these. Such a shame to discover you can’t offload the default risk to someone else 😥
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adrian77
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Post by adrian77 on Feb 16, 2019 16:55:53 GMT
guess it is about to be defaulted - good move FS!
£2.85m most of which is late e.g. £250K is 8 months late so I wonder who would actually buy these loans anyway - I am in the first charge and would sell it at 25% discount
Best laid plans of mice and men...
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 16, 2019 19:09:07 GMT
Oh dear, I trust you hadn’t gone beyond your much-mentioned diversification limit on these. Such a shame to discover you can’t offload the default risk to someone else 😥 Nope Everything I have is always up for sale. Even if suspended or defaulted we should have an update. 100% loss in both would only amount to 4 days interest and that will never happen. 
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adrian77
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Post by adrian77 on Feb 17, 2019 17:50:50 GMT
interesting I sold all of my portfolio that I could so I wonder how many if the SM loans are saleable at all let alone at profit.
have done some maths and this does not add up to me. If somebody has a diversified portfolio with what seems like massive capital write-offs in the near future and if we have well over 10% of loans (seems likely to me) failing to recover 100% of capital then I just can't see a decent return being achieved. I can't sell about 30% of my loanbook which seems pretty typical..but hey what do I know!
Ref 100% write-offs not being possible - what about the property loans where the title was not perfected or the art and that is not including the 2nd or 3rd charges which have already lost 100%...
Would you care to say how much you have in the above 2 loans so I can have another go at the maths.
I thank you
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 18, 2019 0:11:53 GMT
interesting I sold all of my portfolio that I could so I wonder how many if the SM loans are saleable at all let alone at profit. have done some maths and this does not add up to me. If somebody has a diversified portfolio with what seems like massive capital write-offs in the near future and if we have well over 10% of loans (seems likely to me) failing to recover 100% of capital then I just can't see a decent return being achieved. I can't sell about 30% of my loanbook which seems pretty typical..but hey what do I know! Ref 100% write-offs not being possible - what about the property loans where the title was not perfected or the art and that is not including the 2nd or 3rd charges which have already lost 100%... Would you care to say how much you have in the above 2 loans so I can have another go at the maths. I thank you Everything that can be sold is up for sale.
I don't buy loans that are not likely to sell they have to have at least a 0.1% margin and max in any loan 1% . I do keep some but usually between .01% and .1% in any loan. rarely I would hold 1%. There has been no 100% losses in first charge property loans. The loans I keep have a return of 18%-25%. As these are the only ones I hold even with 10% of them failing at 100% few of those if any would have as much as 1% it would only be worth less than 50% of the interest from those that don't. The loans I buy are those active the shortest time with the highest discount so should I need to sell quickly I mearly put them back up for sale at the discount I bought and they will be at the top. I may even sell at slight loss on an individual loan if it allows cash to buy another at an even higher discount. Like gambling the object is not to win but not to loose. Winning is the bonus. In this case having a positive return overall is the win.
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Godanubis
Member of DD Central
Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 18, 2019 12:52:20 GMT
Live chat update
Thank you, 6023851512 - following the update on the 02/01/19 we believe that the repayment from the borrower is not going to follow through. Due to this, we can not allow sales on the secondary market until we have further confirmation. Once we have confirmation from our solicitors a further update will be posted.
1350683639 & 4322961020 - We have had a request from the borrower to redeem this loan shortly. We therefore cannot leave a loan live on the SM if there is a possibility that it may close early. We will be posting an update on the loan shortly to explain this.
Closing early make for a very happy bunny
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aj
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Post by aj on Feb 18, 2019 13:44:14 GMT
4th charge on Lytham I reckon you're in for a 100% loss on. No progress on recoveries for any tranches expected for at least another 9 months though.
A refinance on Pagefield would be a big win for FS though; hopefully something comes of it!
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Godanubis
Member of DD Central
Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 18, 2019 13:54:12 GMT
4th charge on Lytham I reckon you're in for a 100% loss on. No progress on recoveries for any tranches expected for at least another 9 months though. A refinance on Pagefield would be a big win for FS though; hopefully something comes of it! Good rule to follow. Only invest in first charge loans.
Perhaps occasional low LTV Bling.
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Post by brummiefred on Feb 18, 2019 14:14:01 GMT
Recent update
Trading of this loan on the secondary market has been restricted because a request for redmeption statement has been received. We cannot continue to trade loans on the secondary market if we have reason to believe that the loan may repay early.
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bg
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Post by bg on Feb 18, 2019 15:02:00 GMT
Recent update Trading of this loan on the secondary market has been restricted because a request for redmeption statement has been received. We cannot continue to trade loans on the secondary market if we have reason to believe that the loan may repay early. It's ridiculous. Any loan can be redeemed by a borrower at any time. I fail to see how a buyer can be caught out by buying a loan at a 1% discount (as at least some of these loans were) if the loan then suddenly repays. By all means stop a loan from being offered for sale at a premium if repayment is imminent but there is no need to halt par/discounted sales.
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arby
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Post by arby on Feb 18, 2019 15:13:19 GMT
Recent update Trading of this loan on the secondary market has been restricted because a request for redmeption statement has been received. We cannot continue to trade loans on the secondary market if we have reason to believe that the loan may repay early. It's ridiculous. Any loan can be redeemed by a borrower at any time. I fail to see how a buyer can be caught out by buying a loan at a 1% discount (as at least some of these loans were) if the loan then suddenly repays. By all means stop a loan from being offered for sale at a premium if repayment is imminent but there is no need to halt par/discounted sales. Therein lies the issue; you say you're OK with sales at par or discount, but not at a premium. If trading is allowed, it will become just a pure gamble on whether redemption occurs or not, with limited regard to the underlying loan. There is enough gambling in p2p already that this additional form of gambling isn't really needed.
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Post by mrclondon on Feb 18, 2019 15:14:50 GMT
Recent update Trading of this loan on the secondary market has been restricted because a request for redmeption statement has been received. We cannot continue to trade loans on the secondary market if we have reason to believe that the loan may repay early. It's ridiculous. Any loan can be redeemed by a borrower at any time. I fail to see how a buyer can be caught out by buying a loan at a 1% discount (as at least some of these loans were) if the loan then suddenly repays. By all means stop a loan from being offered for sale at a premium if repayment is imminent but there is no need to halt par/discounted sales. The problem is for tax payers purchasing on the SM, many (most?) discounted parts are actually being offered at an effective premium to face value once the inherited tax liability is taken into account. IMO this is a long overdue measure to protect investors. However FS need to be prepared to reopen trading if/when it becomes apparent that the redemption is no longer imminent.
I notice the Sal****** Rd, Herts loan has been similiarly suspended today.
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 18, 2019 15:21:04 GMT
It's ridiculous. Any loan can be redeemed by a borrower at any time. I fail to see how a buyer can be caught out by buying a loan at a 1% discount (as at least some of these loans were) if the loan then suddenly repays. By all means stop a loan from being offered for sale at a premium if repayment is imminent but there is no need to halt par/discounted sales. Therein lies the issue; you say you're OK with sales at par or discount, but not at a premium. If trading is allowed, it will become just a pure gamble on whether redemption occurs or not, with limited regard to the underlying loan. There is enough gambling in p2p already that this additional form of gambling isn't really needed. They stop you trading in the last 30 days on all loans (not all platforms do this). As I always buy at a discount early payback is a bonus as I would normally be holding slightly more than i would near maturity. I don't know of any logical reason to ever buy at a premium.
As for the Tax just make sure all investments are in your FISA
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bg
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Post by bg on Feb 18, 2019 15:21:36 GMT
It's ridiculous. Any loan can be redeemed by a borrower at any time. I fail to see how a buyer can be caught out by buying a loan at a 1% discount (as at least some of these loans were) if the loan then suddenly repays. By all means stop a loan from being offered for sale at a premium if repayment is imminent but there is no need to halt par/discounted sales. Therein lies the issue; you say you're OK with sales at par or discount, but not at a premium. If trading is allowed, it will become just a pure gamble on whether redemption occurs or not, with limited regard to the underlying loan. There is enough gambling in p2p already that this additional form of gambling isn't really needed. No I'm not. I'd happily leave all loans trading at all time. Having said that, if FS know that a loan is going to be repaid tomorrow, I can understand why someone who buys it at a 1% premium is annoyed if it pays back. 1% loss in a day. That is what FS are trying to stop happening so stop people selling at a premium if that is the case, don't allow people to sell at a premium if there is a known redemption upcoming. I don't follow your comments on gambling.
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