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Post by kazamx on Mar 26, 2020 21:46:24 GMT
Does anyone have any thoughts on how WiseAlpha looks when compared to the P2P market at the moment?
I know they are fundamentally different beasts, but a lot of people lump them together (just look at this forum).
While most/all P2P markets are seeing mass withdrawals, WiseAlpha are adding more notes to the market. Looking at WiseAlpha from equity investor point of view, I am much happier at the moment than I would be if I put money into Funding Circle. One area of worry is that its a long time since they did a funding round and the near future doesn't feel like its going to be kind if they are running low.
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jaswells
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Post by jaswells on Mar 26, 2020 22:13:42 GMT
I would summarise my thoughts below:
1) Every p2p company and financial institution has a heightened risk profile ATM, unfortunately for regulars on these platforms p2p and junk bonds are at the riskier end of the spectrum.
2) Wisealpha's secondary market has been very active in the last few weeks. There have been sellers and buyers in relatively high volumes and some of the bonds have been available for the first time in a while.
3) B4 the crunch I felt WA was pushing the envelope a bit and offering riskier and riskier bonds just so there was some yield to offer e.g the bollywood crew). There is now many more opportunities and if at all possible WA should sieze this and get some safer companies on their site at reasonable yields. Financing this however could be tricky.
4) Some of the companies on the WA site will go pop. Travelex is the latest. There is a threshold here but it is very hard to see it getting as critical as many p2p lenders have become in recent months with defaults.
5) AFAIK Wisealpha run a lean ship. It wasn't so long ago that they detailed their monthly outgoings and income expenditures to illustrate this. In that respect, and their access to a liquid market , I don't foresee any reason for a selloff in their product for the foreseeable future.
6) The circumstances through which WA would see a dash for cash are ones in which the financial system would be under severe strain and equities far far lower than they are right now.
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garfield
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Post by garfield on Mar 29, 2020 8:42:19 GMT
Does anyone have any thoughts on how WiseAlpha looks when compared to the P2P market at the moment? I know they are fundamentally different beasts, but a lot of people lump them together (just look at this forum). While most/all P2P markets are seeing mass withdrawals, WiseAlpha are adding more notes to the market. Looking at WiseAlpha from equity investor point of view, I am much happier at the moment than I would be if I put money into Funding Circle. One area of worry is that its a long time since they did a funding round and the near future doesn't feel like its going to be kind if they are running low. If you hadn't noticed, both the Stonegate and Enterprise Inns notes have all repaid recently (the former having acquired the latter), so it's no surprise WA have a few quid kicking around. Great timing for them/us!!
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benaj
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Post by benaj on Mar 29, 2020 12:12:18 GMT
I suppose WiseAlpha could have launch a fund on LSE alongside the platform.
A WA fund would be easier option for retail investors
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Post by EJi on Apr 1, 2020 12:22:05 GMT
I suppose WiseAlpha could have launch a fund on LSE alongside the platform. A WA fund would be easier option for retail investors Yes, I saw it too. Full availability of all loans showing full amount available. Seems to have fixed itself now though.
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