tony7
New Member
Posts: 3 
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Post by tony7 on Nov 27, 2022 23:09:06 GMT
Unbolted seem to be paying such low interest to investors that I question whether this is still a good investment considering the risks. I can get 10% to 12% per annum with another luxury asset lender through private funding although this is limited to when they get a deal for me to invest in.Even property lenders are now offering around 8% to 9% to investors. I stopped lending here a while ago and jumped ship but just popped back to see what the rate on offer was now. It hasn't changed so I can't see that I will be back soon. I was wondering what other people's thoughts were on this?
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Post by geofft on Nov 28, 2022 10:52:48 GMT
My main reason for investing in UB was to add a little diversification to my portfolio, all my previous P2P investments seem to have gradually migrated into the property sector. TBH, it's difficult to get large sums invested here and, as you state, the rate can be beaten but I guess it makes me feel a bit happier to have something outside the property arena. Seems to be lots of activity on UB just recently, maybe all those fine arts aficionados are doing their Xmas shopping....  |
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nick
Member of DD Central
Posts: 1,055
Likes: 825
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Post by nick on Nov 28, 2022 11:14:33 GMT
I've been running down my UB investment as part of my exit out of most P2P which I first started investing in 2014. I feel the risk to reward just isn't worth it anymore with risk going up and rates falling. The recent rise in base rates just reinforces my view.
The particular concern I have over UB is the long standing dispute/litigation with one of its borrowers. My concern is the platform does not have the financial resources or stomach to fight a costly protracted action against the unsavoury debtor and there is a risk (probably quite small) that it sinks the platform. Unfortunately this is risk common cross many platforms which are supported by limited financial resources. I think I have lost more from platform failures than true credit losses from underlying loans, although the later often has contributed to the former eg Lendy, MT etc.
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Post by df on Nov 28, 2022 12:03:56 GMT
Unbolted seem to be paying such low interest to investors that I question whether this is still a good investment considering the risks. I can get 10% to 12% per annum with another luxury asset lender through private funding although this is limited to when they get a deal for me to invest in.Even property lenders are now offering around 8% to 9% to investors. I stopped lending here a while ago and jumped ship but just popped back to see what the rate on offer was now. It hasn't changed so I can't see that I will be back soon. I was wondering what other people's thoughts were on this? The rate UB is currently offering is 7.8%.
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tony7
New Member
Posts: 3
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Post by tony7 on Nov 28, 2022 21:31:28 GMT
It's good to diversify your portfolio for sure but the rate on offer has to outweigh the possible risks. At 7.8% pa i just don't see how it's a good investment any more. With interest rates on the rise and rates to borrowers all being increased it just feels like it's the investors on this platform who are taking all the risks. The bling items are good for sure, I prefer these to property which is why I now assist in the funding of a private asset lender. The only issue there is the quantity of loans is slow. It seems it's hard to get everything correct when dealing with luxury items.
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