What's on the SM? (L)

The castle is a shocker. I ploughed a 5 figure sum into it at around Christmas time when there was loads of availability. I thought that will do for an 11% cash dump for a few months. It did the job and thankfully I all but sold out of it altogether a month or so ago when it was selling quite quickly. I have still got my last £400 in the queue which is toward the front of the queue if I'm honest but it is stuck like glue and going nowhere fast.

In the grand scheme of things that amount left in a stuck queue is unimportant but I would love to be shot of it.

SM has dropped by £49,925.73 so far (in the last 25 minutes). It could drop more now that an email has been sent out.

Strange, my email showed £3,080 in the subject line when I had a single £5,000 loan part. At least I got repaid the £5,000. 

Thanks, I am a bit dyslexic when it comes to a line of zeros.

I can sell you a £50 note for £5 ooo, you make ten times your money  

It's a fair point and if I'm honest I've had approximately 10K in sale queues out of a total investment of 70k for about the last two weeks. So yes I have lost some interest there. I got caught on the hop by a couple of loans that were selling very quickly within a day and so I decided to hold back on listing some of my other parts but then liquidity stopped almost overnight on a couple of them. One example I would mention is the Sussex Woodlands which was selling like hotcakes 2 or 3 weeks ago and then dried up in the last week. However despite my loss of interest I sold all of it today and the same applies to a couple of other loans.

I am the first to admit it is a continuous learning curve on here for me because the goalposts are constantly moving in relation to supply and demand and staying one step ahead of the pack is always a bit of a challenge.

However after today I am looking at my investments and I have nothing sub 100 days left and therefore I am confident that for now at least I have great liquidity. With some reluctance I sold out of the Sky loan today although it was a good loan but it had crept down to about 79 days left and I thought I would take the opportunity to shift it before other people even though it is relatively small and will probably remain very liquid for another month.

I am a cautious investor and I am not concerned if every penny is earning me interest as long as I am generating an adequate income each month.

As the member called freedom above has stated- what a day!

Even some of the castle got sold and I got out of that. Fantastic.

For sure, today's repayment has shifted things along in the SM.

It's at its lowest since Star Wars day (May the 4th) when again it was at around £1.7m. In the last five hours it's dropped from £2.9m to £1.7m.

The most surprising thing is the number of loans available. This is hovering between 33 and 36 as I write and this is by far the lowest number for several weeks. Only nine of the Sub-12% loans have any significant amount available. All of the available 12% loans are 64 days (DFL004) or less, with occasional Arboretum sales here and there.

On the other hand, the Welsh castle (PBL155) seems destined for unpopularity. Along with DFL013 these two are both large (£3m) short term (6 weeks) 11% loans and look like they're extremely difficult to sell. In particular, turnover on the castle is very slow. DFL017 is different and has no troubles yet as it has a year to run.

This SM upturn seems to be due to a recent boost of confidence (and capital) from the raft of repayments. Well played Lendy for getting all those in!

It is easy to calculate that in order for the total value of the overdue loans not to increase May and June, there needs to be, on average, about half a million per day of loan repayments over those two months. I was initially sceptical about this being achievable. However, as has been pointed out (by GeorgeT I think), since April 25th we have had about £10.5m in repayments. That's a very good start as it equates to £0.7m per day for that period. I am still sceptical, although slightly less so, that the repayments will continue at the rate necessary to keep the overdue loan book in check.

I wish Lendy and the investors good fortune in this regard!