Nothing on the aftermarket!

I have been watching as the aftermarket volumes slowly increase.

I have it on good authority that the loan parts have been taken away to be washed and ironed so they can be represented as new, in lieu of any fresh deals coming forward.

First post from a newbie who has just begun researching p2p investments.

I deposited a nominal amount into the green energy account of AssetzCapital. Where can I find the aftermarket? 

Thanks!

Hi faraday815; there is only aftermarket with AC.  The loans are first filled by underwriters behind the scenes and then when the loan is drawn down by the borrower the underwriters release some or all of their holdings on the the aftermarket.  You can see upcoming loans that haven't drawn down yet by using the relevant filters in loan lists.  The same process is then used by retail lenders to sell some or all of their holdings.  So, as bigfoot12 has said, you set a target for any loan that you want some of, whether there is currently anything for sale or not, and then when some gets sold you will probably get some of it - popular loans have any new availability shared out between would-be buyers and sometimes if the amounts are too small you could miss out.  This process is all automatic, so when there is high demand against a loan you'll never see any of it available for sale, although there could be a lot of buying and selling going on behind the scenes.

HTH

Thanks for the comments, bigfoot12 ramblin rose - that was indeed very helpful. While I did know that the Green Account purchases loans automatically, I did not know that it also sells automatically.

So, to clarify - If I have £100 currently invested into the green account, and I wish to sell this entire part, all I need to do is to click on the "Adjust Investment" button and "reduce my investment" by £100 - and the loan part will sell if and when someone invests? 

And I suppose selling my investment on the Manual Account works the same - I "reduce my investment" and it will sell on priority (ahead of unsold stakes) when someone invests into that account?

Thirdly, am I right in assuming that as long as there is a buyer, AssetzCapital charges no fee for selling before term?

I wish all these terms were clearer on the FAQs and help section of AC. But the support on this forum is great.

I agree that the FAQs could be better, but AC are normally very good if you phone them (during normal weekday hours), worth remembering if you get stuck. There are no fees for selling or buying and all transactions happen 'at par' (no seller discount or premium) at the moment. I don't have a Green Account but I think that yes if you reduce investment it will try to sell your loans for you. I would suggest that the older your account the quicker it will sell, as if you hold older investments these are less likely to be generally available and might be in demand. (Unless one of them is in some sort of default.)

If you reduce your investment in manual account it doesn't work the same way any more. I think that you also need to reduce each individual loan target (below your current holding) to get a sale. I don't think there is a priority you join the general selling pool. Reducing your investment transfers money from that account back to your cash account, and will continue to do so until the target is met. So that when loans are sold the proceeds will  be transferred.

Also remember as well as permanent defaults there are other actions which cause loans being suspended from sale for a period of time. Similarly P2P is growing fast at the moment and there is likely to be a buyer along soon but that might not always be the case. I wouldn't want to invest in these loans on the expectation that I can sell quickly.


Crossed with davee39

It depends which option you have selected for "on repayment".

Yes, that makes complete sense. Really appreciate the notes.