macq
Member of DD Central
Posts: 1,694 
Likes: 1,004
|
Post by macq on Sept 15, 2019 13:42:18 GMT
Poor question. At best, in P2P you might get two lucky years of double digit growth. Let's say a risky 20% gain. In shares the return is almost limitless. You can make a loss but a single share might double in two years. You are not measuring like with like. Shares and P2P are two different instruments with different risk/reward profiles. The losses in S&S can be total P2P asset.based P2P working well is better proposition. Over last 4-5 years my P2P has consistently daily produced a profit. I can’t sa the same for S&S. A single tweet or BOE comment can wipe large % off a portfolio for several months. For smaller investors dealing costs prohibited large diversified portfolios that can weather poor market conditions. The basic risk is the same when property is involved. Will the borrower make your investments work. Shareholders and lenders are effectively the same you give someone your dosh and hope the use it wisely. Not going down the which is better debate again but would disagree that dealing cost prohibit diversified portfolios.There are now many cheap multi asset funds from L&G,Blackrock,Hsbc & VLS etc as well as many older but dearer OEIC.Or even IT's like CGT or PNL (and even a new One JARA from JPM) etc
|
|
mason
Member of DD Central
Posts: 662
Likes: 640
|
Post by mason on Sept 15, 2019 17:38:18 GMT
I am at about 15% PA with P2P so ahead. I'm curious to understand how you have achieved net returns of that level from P2P. Presumably you have experienced some bad debt, so either the average interest rate paid to you was quite a bit higher than 15% or you've found somewhere you can invest at 15% that has been free of bad debt. How is such a thing possible?
|
|
JamesFrance
Member of DD Central
Port Grimaud 1974
Posts: 1,169
Likes: 672
|
Post by JamesFrance on Sept 20, 2019 13:43:44 GMT
15% has been achieved with Eastern European platforms where there have been buyback guarantees and SO FAR no meltdowns of any importance, unlike in the UK where we have the FCA to provide additional risk. Not so easy currently but 11 or 12% is still on offer whereas in the UK that level seems to carry considerable risk. What will happen in future is anybody's guess. Even with Bondora with all the defaults I expect to realise about 12% after recoveries, but I don't think anyone on there would achieve that by investing now.
|
|
michaelc
Member of DD Central
Posts: 2,242
Likes: 1,738
Member is Online
|
Post by michaelc on Sept 21, 2019 23:18:41 GMT
Probably because just like on the thread elsewhere, Godanubis has found some random graph that shows "the stockmarket" (of a random definition chosen by Godanubis ) down over the last two years and will no doubt be along to tell us all how we would have all done better if we put our life savings into P2P because "look at this graph" or "look at these stats I've found on the internet" whilst ignoring the fact that P2P is the stockmarket equivalent to Junk Bonds or obscure nanocaps (let alone the hundreds of other variables). 
In another thread, Godanubis claims a science background. I'm stunned a career scientist could remotely consider a poll such as this one to be viable.
I'm outta here, the naivety is too painful to watch.
Likewise the pompousness. This from the chap that tried to suggest P/E is irrelevant and then went on to ridicule my proposed purchase of VODA three months ago at 129 and now pushing 160. Thanks goodness my noise filters worked on that occasion. Now then should I sell or hold? I think I'll hold for a few years.
|
|
|
|
Post by wallstreet on Sept 22, 2019 12:29:40 GMT
Likewise the pompousness. This from the chap that tried to suggest P/E is irrelevant and then went on to ridicule my proposed purchase of VODA three months ago at 129 and now pushing 160. Thanks goodness my noise filters worked on that occasion. Now then should I sell or hold? I think I'll hold for a few years.
May I invite you to re-read my posts about P/E. P/E is not irrelevant, I never said that. What I DID say however was that the way most people use it (i.e. blankly stating "XY has a P/E of Z") is complete and utter nonsense. That's not how P/E is intended to be used. If you don't believe me, fine. Go buy yourself a copy of Damodaran and read how to use P/E properly. He is a well respected university professor in finance and very much does know what he is talking about in relation to P/E and other values that people abuse.
|
|
