Monetus
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Post by Monetus on Jul 19, 2019 9:37:04 GMT
Yes, remember what we've/you've learnt from Lendy... in future not to expose your investment-pot in anything that's either part or fully authorised by the FCA. Hmmmm, I wonder what that leaves exactly [blackjack perhaps]. I have wondered if there should be a P2P anonymous, I think it can be quite as addictive as gambling with sometimes a similar outcome. It's an interesting thought. As someone who has been diagnosed with ADHD since childhood, although it has been beneficial in many aspects for my career (creativity, discovering patterns etc) it does make me somewhat prone to seeking out high-risk situations, stimulation, dopamine hits etc. It's why I don't "gamble" (apart from P2P)! 
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withnell
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Post by withnell on Jul 19, 2019 10:20:04 GMT
I trying to understand here how someone who set up a limited company whose sole purpose seems to be P2P lending and has the better part of £2mm spread across numerous platforms can argue "he had no understanding of the risks involved".
Really? You make the assertion that having a certain amount of cash to invest automatically means you are well versed in the risks of every investment - I'm sure that there are several novice investors in Lendy who invested large inheritance receipts tempted by the headline figures but couldn't be termed sophisticated investors! Personally I was always well aware of the concept of non-paying loans and extended term lengths, and fully expected to lose interest on a number of loans, but not that the capital recoveries would be so low; the 70% LTV *should* have given enough of a cushion to cover professional fees and lead to near 100% capital recovery. I clearly had little concept of the risks involved, I believe because the risks either weren't disclosed or were published in a misleading manner (not placing the blame on any specific body, but a combination of agent/surveyor/legal checks which weren't sufficient but authorized within an FCA framework)
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Post by pachiraaquatica on Jul 19, 2019 10:39:08 GMT
Did anyone else notice in the recent document from the administrators, that the bank account to hold interest payed up front by the borrowers and "held in trust" should contain £196k but only contains £4k
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jul 19, 2019 10:41:00 GMT
Did anyone else notice in the recent document from the administrators, that the bank account to hold interest payed up front by the borrowers and "held in trust" should contain £196k but only contains £4k Yep, been mentioned, also that it wasnt a trust account so is therefore not protected from creditors.
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Jul 19, 2019 11:06:55 GMT
I have wondered if there should be a P2P anonymous, I think it can be quite as addictive as gambling with sometimes a similar outcome. It's an interesting thought. As someone who has been diagnosed with ADHD since childhood, although it has been beneficial in many aspects for my career (creativity, discovering patterns etc) it does make me somewhat prone to seeking out high-risk situations, stimulation, dopamine hits etc. It's why I don't "gamble" (apart from P2P)! Thank you Monetus. I can now understand that quaffing copious amounts of ale is also a manifestation of ADHD. 
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adrianc
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Post by adrianc on Jul 19, 2019 11:38:59 GMT
I trying to understand here how someone who set up a limited company whose sole purpose seems to be P2P lending and has the better part of £2mm spread across numerous platforms can argue "he had no understanding of the risks involved".
Really? You make the assertion that having a certain amount of cash to invest automatically means you are well versed in the risks of every investment - I'm sure that there are several novice investors in Lendy who invested large inheritance receipts tempted by the headline figures but couldn't be termed sophisticated investors! Setting up a single-purpose limited company to channel the investment through, though...
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Greenwood2
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Post by Greenwood2 on Jul 19, 2019 12:21:14 GMT
You make the assertion that having a certain amount of cash to invest automatically means you are well versed in the risks of every investment - I'm sure that there are several novice investors in Lendy who invested large inheritance receipts tempted by the headline figures but couldn't be termed sophisticated investors! Setting up a single-purpose limited company to channel the investment through, though... I remember their was a bit of chat on the forums some time ago about the potential benefits of setting up a company to invest in P2P; It seemed a bit too complicated to me, but probably worth it for BHs.
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adrianc
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Post by adrianc on Jul 19, 2019 12:23:41 GMT
Setting up a single-purpose limited company to channel the investment through, though... I remember their was a bit of chat on the forums some time ago about the potential benefits of setting up a company to invest in P2P; It seemed a bit too complicated to me, but probably worth it for BHs. 'zackly. Not something Joe Average (who happens to have a big wedge sat idle) is going to just fall into.
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bigfoot12
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Post by bigfoot12 on Jul 19, 2019 15:40:25 GMT
I trying to understand here how someone who set up a limited company whose sole purpose seems to be P2P lending and has the better part of £2mm spread across numerous platforms can argue "he had no understanding of the risks involved".
Really? You make the assertion that having a certain amount of cash to invest automatically means you are well versed in the risks of every investment - I'm sure that there are several novice investors in Lendy who invested large inheritance receipts tempted by the headline figures but couldn't be termed sophisticated investors! In addition to adrianc 's point, above, a few £k on good quality advice starts to become small compared to the return. (That doesn't excuse incompetent people being allowed to run financial institutions, and everything mentioned in many previous pages of this thread.)
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Post by mikeyb999 on Jul 19, 2019 16:35:03 GMT
Did anyone else notice in the recent document from the administrators, that the bank account to hold interest payed up front by the borrowers and "held in trust" should contain £196k but only contains £4k Yep, I pointed out earlier in this thread. Will be interested to know where those funds are / went
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Post by Badly Drawn Stickman on Jul 19, 2019 17:46:06 GMT
Did anyone else notice in the recent document from the administrators, that the bank account to hold interest payed up front by the borrowers and "held in trust" should contain £196k but only contains £4k Yep, I pointed out earlier in this thread. Will be interested to know where those funds are / went Using the sprat to catch a mackerel theory..... I hope they have been misappropriated.
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Post by rooster on Jul 19, 2019 19:44:02 GMT
Taking my earlier casino comment a little further, here's food for thought (and before you ask, I don't visit casinos online or offline and personally wouldn't advocate them to anyone else).... If you/I were the unfortunate investors that bet a large sum on the as yet undisclosed-loan that's gonna pay back 7pc, you/I could instead have bet on red at roulette. According to the first page of google, you would have had a 47.4% chance of success. And success wouldn't have been a pesky 12%, it would have been 100%! Yes, that's >40% more chance of getting >8 times better return. Perhaps the FCA should authorise casinos. 2nd thoughts, maybe it does... 'Financial Casino Authority' anyone?  |
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Greenwood2
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Post by Greenwood2 on Jul 19, 2019 20:22:47 GMT
Taking my earlier casino comment a little further, here's food for thought (and before you ask, I don't visit casinos online or offline and personally wouldn't advocate them to anyone else).... If you/I were the unfortunate investors that bet a large sum on the as yet undisclosed-loan that's gonna pay back 7pc, you/I could instead have bet on red at roulette. According to the first page of google, you would have had a 47.4% chance of success. And success wouldn't have been a pesky 12%, it would have been 100%! Yes, that's >40% more chance of getting >8 times better return. Perhaps the FCA should authorise casinos. 2nd thoughts, maybe it does... 'Financial Casino Authority' anyone? And a 50 odd % of failure.
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Post by rooster on Jul 19, 2019 20:24:52 GMT
Taking my earlier casino comment a little further, here's food for thought (and before you ask, I don't visit casinos online or offline and personally wouldn't advocate them to anyone else).... If you/I were the unfortunate investors that bet a large sum on the as yet undisclosed-loan that's gonna pay back 7pc, you/I could instead have bet on red at roulette. According to the first page of google, you would have had a 47.4% chance of success. And success wouldn't have been a pesky 12%, it would have been 100%! Yes, that's >40% more chance of getting >8 times better return. Perhaps the FCA should authorise casinos. 2nd thoughts, maybe it does... 'Financial Casino Authority' anyone? And a 50 odd % of failure. True, I suppose though what I was getting at (perhaps badly) was that for the '7pc'-ers, it could be said they had a 93% failure!
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registerme
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Post by registerme on Jul 19, 2019 23:07:47 GMT
Taking my earlier casino comment a little further, here's food for thought (and before you ask, I don't visit casinos online or offline and personally wouldn't advocate them to anyone else).... If you/I were the unfortunate investors that bet a large sum on the as yet undisclosed-loan that's gonna pay back 7pc, you/I could instead have bet on red at roulette. According to the first page of google, you would have had a 47.4% chance of success. And success wouldn't have been a pesky 12%, it would have been 100%! Yes, that's >40% more chance of getting >8 times better return. Perhaps the FCA should authorise casinos. 2nd thoughts, maybe it does... 'Financial Casino Authority' anyone? The maths here is so wayward I'm not even sure where to start  . And it's late, and I've had a couple of glasses of wine..... EDIT: I could probably, from first principles, prove how wrong it was, but it would take me a while with Excel and would likely be v ugly. There are people better qualified than me who could do it in a trice eg samford71, yangmills, over to you  .
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. And it's late, and I've had a couple of glasses of wine.....
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