SteveT
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Post by SteveT on Nov 21, 2015 16:53:24 GMT
... am doing well farming the cash back at 2% (and the 4% discount!). what is this 4% discount you speak of? FC Property Finance managed to dump £30k of £100 parts in 15844 on the SM the other night at 4% discount, later explained as a "technical error"
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acky
Posts: 481
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Post by acky on Nov 21, 2015 17:56:16 GMT
Over the last 36 E loans since 1/10/15 that I've bid on, the average dead cash days is only 4.5. This includes rejects which have recently had dead cash days of up to 15. If you allow for 5 days of dead cash then the XIRR in my example is still around 15% or 16%. I have the data behind that 4.6 if anyone wants it. Would be glad to test my analysis. Ok, I'm sure your analysis is correct - I've obviously just been unlucky with the few E's that I've managed to catch.
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blender
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Post by blender on Nov 21, 2015 19:42:20 GMT
what is this 4% discount you speak of? FC Property Finance managed to dump £30k of £100 parts in 15844 on the SM the other night at 4% discount, later explained as a "technical error" Yep, as in monopoly, "Technical error in your favour - collect £100". But not yet re-sold. We keenly await the technical error of 20% discount. I have been ok with my few E's so far but I keep longer than a month. And I will not buy blind and get rubbish - if I miss them, too bad.
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Post by goldservice on Nov 23, 2015 15:05:15 GMT
Over the last 36 E loans since 1/10/15 that I've bid on, the average dead cash days is only 4.5. This includes rejects which have recently had dead cash days of up to 15. If you allow for 5 days of dead cash then the XIRR in my example is still around 15% or 16%. I have the data behind that 4.6 if anyone wants it. Would be glad to test my analysis. Financial Chaos replied to me today about my complaint about dead cash days: "When the necessary technical work is implemented, companies will be required to send all of their documents in and formally accept the loan prior to it being listed, meaning that loans will be able to be accepted and become live within a much shorter period of time and they will not stay on the platform when bidding is closed. Unfortunately I cannot confirm when this might be, but it is being worked on, as it is a desirable step forward for us and investors." But no timescale was given for this project.
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ablender
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Post by ablender on Nov 23, 2015 18:22:17 GMT
Over the last 36 E loans since 1/10/15 that I've bid on, the average dead cash days is only 4.5. This includes rejects which have recently had dead cash days of up to 15. If you allow for 5 days of dead cash then the XIRR in my example is still around 15% or 16%. I have the data behind that 4.6 if anyone wants it. Would be glad to test my analysis. Financial Chaos replied to me today about my complaint about dead cash days: "When the necessary technical work is implemented, companies will be required to send all of their documents in and formally accept the loan prior to it being listed, meaning that loans will be able to be accepted and become live within a much shorter period of time and they will not stay on the platform when bidding is closed. Unfortunately I cannot confirm when this might be, but it is being worked on, as it is a desirable step forward for us and investors." But no timescale was given for this project. Oh!! I understood that this had to happen immediately upon implementing fixed rates -- - - - though thinking about it - - - - -- I did not see it done in practice. 
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fasty
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Post by fasty on Nov 23, 2015 18:39:21 GMT
Over the last 36 E loans since 1/10/15 that I've bid on, the average dead cash days is only 4.5. This includes rejects which have recently had dead cash days of up to 15. If you allow for 5 days of dead cash then the XIRR in my example is still around 15% or 16%. I have the data behind that 4.6 if anyone wants it. Would be glad to test my analysis. Financial Chaos replied to me today about my complaint about dead cash days: "When the necessary technical work is implemented, companies will be required to send all of their documents in and formally accept the loan prior to it being listed, meaning that loans will be able to be accepted and become live within a much shorter period of time and they will not stay on the platform when bidding is closed. Unfortunately I cannot confirm when this might be, but it is being worked on, as it is a desirable step forward for us and investors." But no timescale was given for this project. Thanks for pursuing this question. I believe that the change proposed would reduce some of the frustration of using FC.
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Post by GSV3MIaC on Nov 23, 2015 19:21:50 GMT
"When the necessary technical work is implemented" .. based on the historical performance vs necessary (at least IMO) technical work, I'd not be holding my breath any; although I can't really see why it needs any 'technical work' beyond a quick change to the T&Cs, which FC have demonstrated that they are VERY good at, at least when it affects lenders.
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Post by goldservice on Dec 8, 2015 17:08:23 GMT
I jumped ship with nearly half my Financial Clout to SS. But SS has been more of a Savings Trickle as GSV likes to say. So I’ve been regretting the poor opportunities for diversification. However, today three loans were released at once and then six more, making 12, added to the pipeline. So I’m relieved that diversity should rapidly improve.
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merlin
Minor shareholder in Assetz and many other companies.
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Post by merlin on Dec 8, 2015 17:29:29 GMT
I jumped ship a long while back and am only left with a string of defaulted loans a few of which dribble in a few pennies very occasionally. I have a similar problem with AC loans except that I am now down to seven defaulters who ultimately may produce (deep breath a small prayer) most of my capital but little or nothing by way of interest owed. I am afraid my high hopes with both FC & AC are now just sad learning experiences and taking into account all factors I would have done better at leaving my £50k+ in the Nationwide at 1% interest.
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TitoPuente
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Post by TitoPuente on Dec 8, 2015 17:36:10 GMT
I too have been slowly moving funds to SS and, on a lesser extent, MT and AR.
Having said that, I am more uncomfortable with SS, MT and AR in terms of platform risk.
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bigfoot12
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Post by bigfoot12 on Dec 9, 2015 10:11:41 GMT
...my high hopes with both FC & AC are now just sad learning experiences and taking into account all factors I would have done better at leaving my £50k+ in the Nationwide at 1% interest. I think that you must have been very unlucky with both of these platforms. I can understand on AC that it has been hard to be both fully invested and diversified, and as it advertises itself as secured lending it is tempting to have large holdings in those loans that were easier to buy when you joined, but I wouldn't have thought that's true of FC. One of the (few) good things about FC is that it is very easy to diversify, and even if the returns aren't worth the risks we are taking, average returns, over the last few years, have far outstripped those of a building society. Of course leaving it in a FSCS account over the next few years might be the right thing to do. Did you diversify across 100+ loans? At AC, I have a big loss on one loan, in which my holding was far too large. I am probably going to lose 50% of my investment, overall I might have been better at Ratesetter, but even assuming no favourable tax treatment of that loss my IRR is much better than 1%.
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blender
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Post by blender on Dec 9, 2015 11:47:45 GMT
I jumped ship a long while back and am only left with a string of defaulted loans a few of which dribble in a few pennies very occasionally. I have a similar problem with AC loans except that I am now down to seven defaulters who ultimately may produce (deep breath a small prayer) most of my capital but little or nothing by way of interest owed. I am afraid my high hopes with both FC & AC are now just sad learning experiences and taking into account all factors I would have done better at leaving my £50k+ in the Nationwide at 1% interest. Hi Merlin. I know that you are a long-standing p2p lender and valuable forum contributor, but really cannot believe that you have done no better on two platforms than in a 1% savings account. We all know that those who do well have to be balanced by those who do less well - but we like to think of the mass of FC Autobidders doing less well but much better than 1%. If what you say is meant to be accurate then there is one common factor. Being an FC Autobidder is effortless, painless and much more remunerative.
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merlin
Minor shareholder in Assetz and many other companies.
Posts: 902
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Post by merlin on Dec 9, 2015 15:28:54 GMT
I jumped ship a long while back and am only left with a string of defaulted loans a few of which dribble in a few pennies very occasionally. I have a similar problem with AC loans except that I am now down to seven defaulters who ultimately may produce (deep breath a small prayer) most of my capital but little or nothing by way of interest owed. I am afraid my high hopes with both FC & AC are now just sad learning experiences and taking into account all factors I would have done better at leaving my £50k+ in the Nationwide at 1% interest. Hi Merlin. I know that you are a long-standing p2p lender and valuable forum contributor, but really cannot believe that you have done no better on two platforms than in a 1% savings account. We all know that those who do well have to be balanced by those who do less well - but we like to think of the mass of FC Autobidders doing less well but much better than 1%. If what you say is meant to be accurate then there is one common factor. Being an FC Autobidder is effortless, painless and much more remunerative. I suppose I should have said that my comment was a prediction of the final outcome.
About three years back I got hit quite hard on FC with a succession of defaults few of which have produced anything in recovery. I have posed previously about these and others have happened all too frequently since. These have put a real den tin my investments and based on past performance little will be added in recoveries.
On the AC front I have seven dodgy investments remaining which in total value (capital plus interest) exceed all my interest earnings from previous investments. I accept that these loans may in time produce some capital but given the rate of erosion through LPA, legal fees and other costs I doubt I will recover my original investment. Add to this the potential loss of earnings and the cost of my time, one percent looks about right to me.
As a foot note I may add I have done a lot better with other P2P providers.
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acky
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Post by acky on Dec 9, 2015 15:35:54 GMT
Hi Merlin. I know that you are a long-standing p2p lender and valuable forum contributor, but really cannot believe that you have done no better on two platforms than in a 1% savings account. We all know that those who do well have to be balanced by those who do less well - but we like to think of the mass of FC Autobidders doing less well but much better than 1%. If what you say is meant to be accurate then there is one common factor. Being an FC Autobidder is effortless, painless and much more remunerative. I suppose I should have said that my comment was a prediction of the final outcome.
About three years back I got hit quite hard on FC with a succession of defaults few of which have produced anything in recovery. I have posed previously about these and others have happened all too frequently since. These have put a real den tin my investments and based on past performance little will be added in recoveries.
On the AC front I have seven dodgy investments remaining which in total value (capital plus interest) exceed all my interest earnings from previous investments. I accept that these loans may in time produce some capital but given the rate of erosion through LPA, legal fees and other costs I doubt I will recover my original investment. Add to this the potential loss of earnings and the cost of my time, one percent looks about right to me.
As a foot note I may add I have done a lot better with other P2P providers.
Not surprised you've suffered at AC. Their proportion of loans which go dodgy or worse seems extraordinarily high. I am looking forward to the end of my brief flirtation with AC - I am hoping I might ultimately get my money back, but any excess of interest over losses will be considered a bonus. Have done hugely better on all other platforms, including FC.
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metoo
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Post by metoo on Dec 10, 2015 16:42:10 GMT
I jumped ship a long while back and am only left with a string of defaulted loans a few of which dribble in a few pennies very occasionally. I have a similar problem with AC loans except that I am now down to seven defaulters who ultimately may produce (deep breath a small prayer) most of my capital but little or nothing by way of interest owed. I am afraid my high hopes with both FC & AC are now just sad learning experiences and taking into account all factors I would have done better at leaving my £50k+ in the Nationwide at 1% interest. , to understand how your experience compares with what Frightfully Confident publish on diversified returns, may I ask what percentage of your FC+AC lending total was the individual size of your defaulted loans? I appreciate you were diversified across other platforms.
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