dorset
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Post by dorset on Jun 28, 2019 16:12:25 GMT
I just sold at 183, an absolute effing disaster but i could only see it continuing to go down. FC as an investment is a busted flush. I lost 3,000 on a 5,000 investment in the IPO. I have serious questions about just what the hell has been going on there. They need to seriously rethink their model because at the moment they are not charging enough to make a profit, they have to stop chasing loans at any cost. Well according to them they have stopped chasing . Started 1st quarter this year. The trouble is the 2017/2018 cohorts which the sellers on this board and the IT can’t sell easily. the FC model is no different from many banks and is very cyclical. The FC model is completely different from the traditional bank business model. Why do we think that the 2019 loans are going to be any different from the 2016 to 2018 loans? 52k shares just unloaded by someone at 179.8p
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bigfoot12
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Post by bigfoot12 on Jun 28, 2019 16:36:45 GMT
The FC model is completely different from the traditional bank business model. Very, print as much fee earning business as possible, dump as much risk on our customers as we can get away with, and pay ourselves as much as possible. I am glad fintech is disrupting the marketplace! Edit: BTW I withdrew almost everything from FC about a year ago when they stopped the download of the loan book.
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Post by shanghaiscouse on Jun 28, 2019 19:15:17 GMT
i think all you can do now is get as much cash out of it as fast as you can
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dorset
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Post by dorset on Jun 29, 2019 15:54:58 GMT
i think all you can do now is get as much cash out of it as fast as you can Perhaps or just sit back and let your loans gently run out and then wait for the recovery tail. Had 1650+ loans in September 2017 and now down to 700 or so. Recoveries still running at 33% My total net earnings since 2011 have long since exceeded my current outstanding capital so am now simply taking out accumulated profits. Fondly remember the early years with FC. Good fun bidding, flipping, dumping poor performers and making a decent return at the end of the day.
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coogaruk
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Post by coogaruk on Jun 30, 2019 11:51:55 GMT
My total net earnings since 2011 have long since exceeded my current outstanding capital so am now simply taking out accumulated profits. Fondly remember the early years with FC. Good fun bidding, flipping, dumping poor performers and making a decent return at the end of the day. Almost exactly the same experience here. Very annoying that since September '17 all interest earned has been more than wiped out by defaults. Disgraceful!
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adrian77
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Post by adrian77 on Jun 30, 2019 12:09:17 GMT
Just checked their share performance - what an incredible fall - really feel for those of you that had shares in this outfit although I think you did the best thing to ditch them.
Glad I got 100% out of FS FC when I did as I never like their attitude, nor competency, nor business model nor "professionalism"
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Post by spareapennyor2 on Jun 30, 2019 12:36:02 GMT
adrian77 just checking is that a typo FS ? do you mean FC it would fit both
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adrian77
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Post by adrian77 on Jun 30, 2019 12:45:03 GMT
thanks yes - meant to be FC! I wish I was 100% out of FS but like a lot of us I can't get my hands on about 25% of my loans
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invester
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Post by invester on Jul 1, 2019 11:36:03 GMT
Down another 11% today.
Gotta say I think this is uninvestable given the stream of disappointments here. If the slide continues sooner or later the market will be valuing the business at next to nothing as they have a lot of cash. Which I think is about right.
I don't think all their spending has given them much of an economic moat. Anyone can lend money out, the business with the FCIF and the queues to cash out kinda suggest that the chickens may be coming home to roost.
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Post by shanghaiscouse on Jul 1, 2019 12:49:27 GMT
i dont think it will be long before this ipo is put under investigation. a lot of questions.....
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dorset
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Post by dorset on Jul 1, 2019 13:02:55 GMT
i dont think it will be long before this ipo is put under investigation. a lot of questions..... I did not look at the IPO prospectus but suspect that the reporting accountants did not pay too much attention to the loan book as they would assume that lenders through FC and not investors to FC carried the loan book risk. This was of course correct however the reputational risk to FC when the loan book problems materialised would (and now have) sink/sunk the share price as current shareholders and future investors in FC shares finally realise that FC is operating a flawed business model.
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reinvestor
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Post by reinvestor on Jul 1, 2019 14:28:41 GMT
Now down another 13% on the day today. £1.54.
Shares don't go down in price like FC's has unless there is a stock exchange announcement or figures are released.
Neither has happened so somebody knows something and word has got out to the City.....
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bigfoot12
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Post by bigfoot12 on Jul 1, 2019 15:59:49 GMT
I was looking at FC shares and noticed that it is classed as software / software and computer services. Given how bad they are at software the share price is less surprising (other than it isn't zero).
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ashtondav
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Post by ashtondav on Jul 2, 2019 6:54:29 GMT
Now down another 13% on the day today. £1.54.
Shares don't go down in price like FC's has unless there is a stock exchange announcement or figures are released.
Neither has happened so somebody knows something and word has got out to the City.....
Someone got wind of the H1 update released today www.proactiveinvestors.co.uk/LON:FCH/Funding-Circle-Holdings-PLC/rns/LSE20190702070009_14132411Given the uncertain economic environment demand demand for loans has decreased and FC have tightened lending criteria. This will benefit lenders but result in slower than previously forecast growth. So bad news for shareholders, slightly better news for lenders (apart from those looking to dump 2016-2018 loans)
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reinvestor
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Post by reinvestor on Jul 2, 2019 7:31:05 GMT
Now down another 13% on the day today. £1.54.
Shares don't go down in price like FC's has unless there is a stock exchange announcement or figures are released.
Neither has happened so somebody knows something and word has got out to the City.....
Someone got wind of the H1 update released today www.proactiveinvestors.co.uk/LON:FCH/Funding-Circle-Holdings-PLC/rns/LSE20190702070009_14132411Given the uncertain economic environment demand demand for loans has decreased and FC have tightened lending criteria. This will benefit lenders but result in slower than previously forecast growth. So bad news for shareholders, slightly better news for lenders (apart from those looking to dump 2016-2018 loans) Well the market doesn't like that update at all! Down 18% this morning to 138p
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