alender
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Post by alender on Apr 5, 2020 12:07:33 GMT
Yeah, cash does earn zero on AC as it is not a bank and so cant' generate that. Swept QAA no longer exists ofc too. I have some funds in the queue pool (some going for 90 daa some going for other investments outside AC), whilst they are holding onto risk I want to earn the target rate. If AC are getting interest on loans they are getting interest in the loans in the exit queue, reallocating this does not feel right as a lender with loans in the exit queue is the owner of the loan (if this is P2P) and therefore the interest.
Cash accounts should be in fiduciary funds so therefore getting zero or close to zero interest rates.
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Post by Harland Kearney on Apr 5, 2020 12:08:16 GMT
Yeah, cash does earn zero on AC as it is not a bank and so cant' generate that. Swept QAA no longer exists ofc too. I have some funds in the queue pool (some going for 90 daa some going for other investments outside AC), whilst they are holding onto risk I want to earn the target rate. If AC are getting interest on loans they are getting interest in the loans in the exit queue, reallocating this does not feel right as a lender with loans in the exit queue is the owner of the loan (if this is P2P) and therefore the interest.
Cash accounts should be in fiduciary funds so therefore getting zero or close to zero interest rates.
yeah 100%
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Post by Harland Kearney on Apr 5, 2020 12:11:40 GMT
If they created a series 2 QAA, surely this would cause major issues for them anyway. Who from retail investors will invest in that, when presumbly all of our funds are locked up between the QAA/30DAA/90DAA. I wouldn't put it past them at this point to do something like that. I think they will focus their efforts on restoring liquidity to that AA, whilst seeing it though. Unike the GBBA I don't think they can run away and make a series 2 so easily this time.  But you never know! Not even on a confidence level, but even from liquidy point. |
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mrsb
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Post by mrsb on Apr 5, 2020 12:15:47 GMT
Series 2 = AC mk2 - lenders = institutions, BBB etc. Assured/promised different treatment than the series one retail “muppets”. I hope not! But within their gift??
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Post by Harland Kearney on Apr 5, 2020 12:21:15 GMT
Who knows, however if they are generating profits from outside retail investors the only plus side from this (and I dont mean in the example you gave of us getting a short end of the stick) is AC generate profits.
The truth is, its platform risk I'm terrfied of, and Im sure its what has gotten other investors railed (on all boards on this forum). Not even the underlying assets, but the platform. COL, FS, Lendy are great examples of terror for this. I think with AC current loan book, when we look at what the QAA holds, a majority of the loans will hold up after this crisis and even if not the recovery of those loans will be acceptble. But ONLY if the platform is healthy.
If AC are fulfilling loans even during this crisis then they are generating profits, sooner they start doing that the quicker they can stop charging us fees (but we have to keep onto them on this, its the one thing I agree with when people complain, it really should be ONLY for this crisis.)
I think AC will end up using a mixture of Retail, institutional funding and BBB to fund loans collectively. Surely it would be the smartest move, as long as each creditor is on a level playing field when it comes to recovery.
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alender
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Post by alender on Apr 5, 2020 12:21:20 GMT
If they created a series 2 QAA, surely this would cause major issues for them anyway. Who from retail investors will invest in that, when presumbly all of our funds are locked up between the QAA/30DAA/90DAA. I wouldn't put it past them at this point to do something like that. I think they will focus their efforts on restoring liquidity to that AA, whilst seeing it though. Unike the GBBA I don't think they can run away and make a series 2 so easily this time. But you never know! Not even on a confidence level, but even from liquidy point. Who knows what the terms will be of a series 2 account, perhaps some government backing, the one thing is certain it will have to be better than the series 1 accounts.
There are some people on here who think AC can do wrong especially if they are small investors, they may well transfer their funds to a perhaps more secure account as they have the option. All speculation but for large investors it looks very bad.
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Post by Harland Kearney on Apr 5, 2020 12:23:50 GMT
If they created a series 2 QAA, surely this would cause major issues for them anyway. Who from retail investors will invest in that, when presumbly all of our funds are locked up between the QAA/30DAA/90DAA. I wouldn't put it past them at this point to do something like that. I think they will focus their efforts on restoring liquidity to that AA, whilst seeing it though. Unike the GBBA I don't think they can run away and make a series 2 so easily this time. But you never know! Not even on a confidence level, but even from liquidy point. Who knows what the terms will be of a series 2 account, perhaps some government backing, the one thing is certain it will have to be better than the series 1 accounts.
There are some people on here who think AC can do wrong especially if they are small investors, they may well transfer their funds to a perhaps more secure account as they have the option. All speculation but for large investors it looks very bad. 0.9% cashback for series 2 
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alender
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Post by alender on Apr 5, 2020 12:26:06 GMT
The truth is, its platform risk I'm terrfied of, and Im sure its what has gotten other investors railed (on all boards on this forum). Not even the underlying assets, but the platform. COL, FS, Lendy are great examples of terror for this. I think with AC current loan book, when we look at what the QAA holds, a majority of the loans will hold up after this crisis and even if not the recovery of those loans will be acceptble. But ONLY if the platform is healthy.As a larger retired investor I am terrified of the platform risk but I am also terrified of the consequence of AC actions if the platform survives, the one thing we know is AC decides who are the deserving and undeserving lenders.
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alanh
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Post by alanh on Apr 5, 2020 12:26:49 GMT
Series 2 = AC mk2 - lenders = institutions, BBB etc. Assured/promised different treatment than the series one retail “muppets”. I hope not! But within their gift?? They cannot possibly just walk away from all this and set up a bunch of new accounts and expect people to invest. People are not that stupid - well, most people are not that stupid. Typically in these situations they walk off, the old company collapses and they set up a new one with a different name. Of course, the new company will have the same issues if/when investors look into who the directors and management are. I would urge them not to go down either of these routes and just get on with sorting out the current mess.
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mark
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Post by mark on Apr 5, 2020 12:36:19 GMT
You should take your own advice, you keep saying your not going to post but keep coming back. The gift that keeps on giving.... Yes I really should, the crying brigade will only get louder from here on out on this board. Its really unreal, it wasn't like this even 21 days ago; suddenly users like yourself came out of the wood works to cry on every thread. You made a bad investment (we all did if it turns out the way you flapping your hands around on this board), suck it up and move on; or contribute to the discussion correctly (which means not making extreme accusations like Ponzi). Lets hope at the very least you didnt' invest anymore than 10% by your logic. If you did you just make youself look silly and stupid for over investing into a product that clearly caught you out, a Ponzi if you will. As well as ignoring FCA guidelines. What discussion at this point. Bravo Harland, I admire your staying power and tenacity my friend. I have decided to withdraw from attempting to challenge Assetz Capital's prejudged fatalists. Fortunately, it is clear that they are a minority.
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alender
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Post by alender on Apr 5, 2020 12:40:40 GMT
If we get a series 2 (I think it more likely to be a completely different product far removed from the current model) this will be in so called normal market conditions, there will be lots of advertising, perhaps new logon etc. new investors will see more attractive T&Cs and probably less risky than current accounts. I don't think AC will expect many of the current investors to move across but will blame all of the problems on corona virus, not their fault and will leave us locked in and out to dry. They will concentrate the bulk of their efforts on the new accounts and put very littler effort in to pursuing current defaulted loans, after all why should they especially of they get a a majority of A votes. Also small investors may be more keen given AC have let them out scot free.
AC are already looking a new business streams.
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Post by Harland Kearney on Apr 5, 2020 12:50:41 GMT
All very possible, but all speculation. All we can do is wait, but from AC current comms it seems more likely AC want to keep the wealth of the AA intact right now.
I think they know doing what we are talking about is a step too far. At the very least, they would likely restore liquidity or get the queue moving in a order where investors can look to exit in 120-180 days in full (from performing loans) before going full swing a new product. GBBA is comparable to the AA but at the same time it also really isn't it. The way it would sell loans, decide loan allocations were all diffrent (and eventually they dropped it entirely as a result of those things)
I don't see what would be different from a series 2 AA, unless it was a entirely new product far removed from Retail investors ability to invest.
Just for readers to note, there has been NO COMMS anywhere about a series 2, this is purely speculation at this point.
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alender
Member of DD Central
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Post by alender on Apr 5, 2020 13:02:25 GMT
Series 2 = AC mk2 - lenders = institutions, BBB etc. Assured/promised different treatment than the series one retail “muppets”. I hope not! But within their gift?? They cannot possibly just walk away from all this and set up a bunch of new accounts and expect people to invest. People are not that stupid - well, most people are not that stupid. Typically in these situations they walk off, the old company collapses and they set up a new one with a different name. Of course, the new company will have the same issues if/when investors look into who the directors and management are. I would urge them not to go down either of these routes and just get on with sorting out the current mess. Looking at AC's current actions they do not give a damn about the larger lenders, they know they are either gone, or their a large proportion of their funds with AC are gone (same thing).
They would not be looking at the same people to invest in the new areas of business they are looking for a new market, they just need to buy themselves some time hence the forbearance (rigged) vote which if A will allow AC to stop doing due diligence on current loans thereby freeing up resources to concentrate on new areas.
If the directors start a new business, they will walk away with all of their nice salaries paid thought out the years and it is even worse for current investors.
I would be very interested in knowing how much the directors have in AAs and if this has increased during the crisis, if they commit their own funds in the AAs now this would be a real vote of confidence in AC.
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Post by jasonnewman on Apr 5, 2020 13:03:55 GMT
A lot of people don't understand what they voted for when they chose forbearance…..the right option was B to make AC do the job they have been earning the fee for all these years.
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Mikeme
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Post by Mikeme on Apr 5, 2020 13:06:10 GMT
Who knows, however if they are generating profits from outside retail investors the only plus side from this (and I dont mean in the example you gave of us getting a short end of the stick) is AC generate profits. The truth is, its platform risk I'm terrfied of, and Im sure its what has gotten other investors railed (on all boards on this forum). Not even the underlying assets, but the platform. COL, FS, Lendy are great examples of terror for this. I think with AC current loan book, when we look at what the QAA holds, a majority of the loans will hold up after this crisis and even if not the recovery of those loans will be acceptble. But ONLY if the platform is healthy.If AC are fulfilling loans even during this crisis then they are generating profits, sooner they start doing that the quicker they can stop charging us fees (but we have to keep onto them on this, its the one thing I agree with when people complain, it really should be ONLY for this crisis.) I think AC will end up using a mixture of Retail, institutional funding and BBB to fund loans collectively. Surely it would be the smartest move, as long as each creditor is on a level playing field when it comes to recovery. Singing from the same hymn sheet.Simple really.
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But you never know!
