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Post by khampson on Dec 18, 2016 22:19:49 GMT
hi, I have used FC previously and was thinking about sending money their way again, what return would I expect using auto bid only? I dont have the time or the knowledge to go through the loans manually, I also know better rates are achievable elsewhere but I am quite happy auto bidding and putting my money to work fast, I have about £3000 to deposit so I dont want to have it sat in an account waiting to be lent and I know FC have a good number of loans, I have money in Bondmason but want to put money elsewhere for the time being.
many thanks
Keith
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Liz
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Post by Liz on Dec 18, 2016 22:34:45 GMT
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blender
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Post by blender on Dec 18, 2016 22:43:36 GMT
Yes, the information is very good. However, the rates only apply to past performance. If you use Autobid make sure that you set the secondary rates - otherwise it will buy anything offered at par. And please read the thread 'Why I'm leaving FC' on their forum for a very worrying tale. If you can take some risk with your £3K (that is assuming you have quite a few other £3ks in a safe place), then Ablrate have a12% basket of secured loans just closing - and offers on the secondary market as well. You will not get anything like that net at FC - less than 7% with Autobid going forward.
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Post by khampson on Dec 18, 2016 23:53:27 GMT
Yes, the information is very good. However, the rates only apply to past performance. If you use Autobid make sure that you set the secondary rates - otherwise it will buy anything offered at par. And please read the thread 'Why I'm leaving FC' on their forum for a very worrying tale. If you can take some risk with your £3K (that is assuming you have quite a few other £3ks in a safe place), then Ablrate have a12% basket of secured loans just closing - and offers on the secondary market as well. You will not get anything like that net at FC - less than 7% with Autobid going forward. Does Ablrate have an autobid option, how many new loans come to market each week? At 1% investment I will need 300 loans to put my money to work. I am open to other options with p2p. Keith
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blender
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Post by blender on Dec 19, 2016 0:00:10 GMT
No Autobid option. Ablrate is not the place for hundreds of £10 bids. Sorry, but that was not what I was thinking of. FC is suited to that, minimum £20.
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greatmarko
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Post by greatmarko on Dec 19, 2016 0:37:43 GMT
..yet! ...but there's an "Auto Investment" placeholder link in the Ablrate dashboard menu that's been there for a while, and which when clicked displays a "Coming Soon" page.
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blender
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Post by blender on Dec 19, 2016 9:24:41 GMT
..yet! ...but there's an "Auto Investment" placeholder link in the Ablrate dashboard menu that's been there for a while, and which when clicked displays a "Coming Soon" page. So there is, well spotted. However, Ablrate has reached loan number 55 after about two years. Which means that with 300 loans needed (not quite sure why it is 300) the £3k will take three years to lend.
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treeman
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Post by treeman on Dec 19, 2016 10:30:06 GMT
..yet! ...but there's an "Auto Investment" placeholder link in the Ablrate dashboard menu that's been there for a while, and which when clicked displays a "Coming Soon" page. That link to "Coming Soon" was there (and hasn't changed) since I signed up nearly 15 months ago ............ 
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nick
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Post by nick on Dec 19, 2016 11:43:51 GMT
It might be worth considering FC's IT (ticker FCIF) if you are looking to invest and forget. Its share price has tracked fairly close to NAV and will provide a very diversified portfolio. The fund is nearly fully invested with only 15% held in cash and is currently posting a NAV return of approximately 7%pa over the past several months (target total return is 8-9%pa). Pros: - Provides diversification day 1 across UK (66%) and US (18%) loans - invested in over 3,144 loans at last count with average value £53k and 25 mth maturity
- Can invest within a ISA and/or SIPP wrapper
- Can deploy up to 50% leverage
- Exposure to higher yielding US market (abeit with higher risk)
- Probably more liquid and provides quicker/easier way to liquidate
Cons: - 1-2% bid/ask spread so not great if holding for short periods, eg less than a year
- basis risk - share price may trade at discount/premium to NAV. May tend towards a discount if interest rates rise in UK & US
I advised my parents to switch out of manually selecting loans to the holding the fund to reduce time required to manage their investment and reduce risk (given their over confidence in their ability to select good credits!)
fcincomefund.com/wp-content/uploads/2016/12/fund-factsheet-november-2016-1.pdf |
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Post by GSV3MIaC on Dec 19, 2016 16:48:06 GMT
/Mod hat off
Nor will you get £3k lent out either fast (especially at the moment) or to 300 Loans (0.5% of the pot is the smallest increment I believe?) using autobodge. I really really wouldn't go there (but if you do, then set the manual buy rate high enough to avoid buying dented parts on the SM).
Plus right now a very large number of loans are allegedly 'A+', which makes achieving that headline 7%+ rate (after 1% fees) a big challenge. 'Lend out fast' is really not P2P compatible, unless you are willing to stick it all on one loan someplace and hope to spread it around before anything bad has time to happen. Yes, FC has lots of loans (but not this month), but you probably don't want most of them (and autobid always buys what nobody else bought first).
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fp
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Post by fp on Dec 19, 2016 21:26:09 GMT
I'd take a look at Bondmason, bit better returns, only issue is cash drag getting your money invested, drip it in a few hundred quid at a time.
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bb74
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Post by bb74 on Feb 9, 2017 15:44:22 GMT
I invested some money on the 1st February using the autobid function. It has not yet been touched. I can't seem to find anything on the FC website re: cash drag and how long the ques might be. Can anyone shed any light on this matter please?
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fasty
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Post by fasty on Feb 9, 2017 15:51:18 GMT
I invested some money on the 1st February using the autobid function. It has not yet been touched. I can't seem to find anything on the FC website re: cash drag and how long the ques might be. Can anyone shed any light on this matter please? That's odd, can you tell us more about the settings you have on the autobid page? In particular, have you adjusted the advanced settings ?
I hasten to add, I only used autobid for a couple of days, several years ago. That was enough. I strongly advocate patience and manual bidding.
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Post by slumberingaccountant on Feb 9, 2017 15:53:08 GMT
I invested some money on the 1st February using the autobid function. It has not yet been touched. I can't seem to find anything on the FC website re: cash drag and how long the ques might be. Can anyone shed any light on this matter please? Theres a good few loans coming on each day so does not make sense. Have a look again at what you have set up, and if you are sure that its correct try giving them a ring. Many of us on here would suggest thats its not a great plan to use it anyway...
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blender
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Post by blender on Feb 9, 2017 17:34:49 GMT
Something wrong there. You should have received Uxbridge1 yesterday.
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