happy
Member of DD Central
Posts: 397 
Likes: 497
|
Post by happy on Nov 23, 2017 21:18:17 GMT
Why do you need a PF when you have good asset security, in this case about 3x security? Sure the rate is low but right now for both personal and wider impending ecconomic reasons my focus is on selecting low risk investments on platforms I trust that have a low likelyhood of default and an even lower likelyhood of capital loss that also pay me above inflation returns (gross). I am sure I am not alone in the view that ROC always beats ROI, something that will be much more important over the next 12-36 months as we negotiate some fairly unpredictable and uncharted waters. As the famous Frank Spencer once said "There are old pilots and there are bold pilots, but there are no old, bold pilots".  In these times caution may prove to be the better part of valour I feel.
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 23, 2017 18:49:46 GMT
Only £20k sitting on the SM so not a bad take-up for a 5% loan. With this amount on the SM based on previous experience and the current in-flow of money to AC I think liquidity should be reasonable although probably not instant. Looking at the numbers I estimate about 45% is in the QAA/30Day so there has been pretty good take-up from the MLIA investors.
Personally I see these very low LTV low rate loans much more attractive at the moment than the likes of Zopa, FC etc with lower rates and no security and provide a useful lower capital loss risk balance in my portfolio
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 22, 2017 16:20:00 GMT
And with the typical funding cost at RS being substantially below what these types of loans are being funded for elsewhere this could put further downward pressure on property loans across the P2P market. Not necessarily great news for us investors
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 22, 2017 16:11:21 GMT
Do Funding Circle have a ESG Policy? Thanks. If they do it will probably be filed with the "Always Salsa and Ping-pong on a Friday" policy document,.......or is that RateSetter, or Zopa.... I forget. Actually I have always wanted to ask those of you that know, is the Friday Salsa the dance type or the the stuff you put on Fajitas etc? EDIT: having read this post back I think I must have had too many refined carbs today, must get back to that whole food, plant-based diet just like oldgrumpy
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 21, 2017 10:58:47 GMT
Just tried it for you Grumps, all ok here
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 20, 2017 19:43:55 GMT
Valid point, however this loan has a very low LTV so may be more attractive to risk-averse investors and looking at the current lower rate loans on AC they do seem to be reasonably well subscribed. 5% is breaking new ground for low interest rates though.
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 20, 2017 18:41:33 GMT
And you don't think being secured against an asset valued at approaching 3x the loan value is worth more safer than a PF that is only marginally above expected defaults?
I have to admit to not having looked at the loan details yet but if the security looks good I cannot see why 5% with a fairly liquid sm is not a fairly safe place to park some un-invested cash for a while at least. JMHO.
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Nov 14, 2017 7:05:27 GMT
Also loan #173 to the same borrower repaid.......32 months early!
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 31, 2017 12:31:23 GMT
A fairly normal FC experience i feel, unfortunately. I stopped investing in new business loans when fixed rates came along as unsecured lending at those rates was IMHO lunacy and after a number of very early A ranked loan defaults making one or a few payments before defaulting I sold out most of my hand picked SME loans and I moved to property loans, taking cashback when it was there but always selling on 2-3 months from expiry and have had no defaults since. Now I have held on to a reducing portfolio of property loans, highly diversified and lower LTV which I am letting run down to (hopefully) full repayment. Recovery on my defaults has been very minimal and overall I expect less than 10% to come back and it will take years. I have made a decent profit out of FC but it was a huge amount of work and my saviour on the losses front was diversification and selecting loans carefully. Had I not done this I am sure I could well have made a loss. Would not trust autobid, even in its new "fairer" form, due to poor quality of loans coming through even as A+ and As so unlikely to ever invest further in FC. It was fun though  |
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 23, 2017 8:28:29 GMT
No repayments yet again on a Monday (5 year). Perhaps another excuse is needed..  3 Year in now and borrower requests are at +£4m so looks like normal Monday morning processing volume this time rather than a technical glitch. We should see 5 Year repayments in the few hours I would think.
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 16, 2017 21:01:18 GMT
my 3 year repayments just fell out of the hamster cage, still waiting for 5 year. Tomorrow perhaps?
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 16, 2017 15:40:22 GMT
4.30pm still no 3 or 5 year repayments have been made to my holding account, still virtually no borrowing on rolling but now a nice fat £9.3m waiting to be lent out! Interestingly the match count has rocketed to almost 12,000 from under 200 at midday so it appears that loans are being matched but at around 3.6-3.8% Anyone else get the feeling RS are trying a new drip-feed strategy to get their rolling rate down? Or perhaps it's just malfunctioning IT. In the absence of any update from RS we are left to guess and feel unloved again |
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 16, 2017 11:28:57 GMT
My Rolling repayments have just come back into holding but nothing on 3 and 5Year. Still no burrowers to speak of though and what there is is at 3.3% . Might just go for a walk with the dog before that tornado arrives and see it things improve this afternoon. |
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 16, 2017 6:20:03 GMT
No significant amount of borrower requests on any of the markets and my £1,000 or so of repayments in Rolling 3Y and 5Y have not made an appearance in my account yet. Looks like another very slow start to the week for the RS hamsters! This is getting all too common from RS recently.
|
|
happy
Member of DD Central
Posts: 397
Likes: 497
|
Post by happy on Oct 12, 2017 12:10:38 GMT
Oh thanks for reminding me about party lines. Ours was and there was a button on the top that you had to press to get the dial tone which only worked if next door were not on the phone. Tell that to the............
|
|
In these times caution may prove to be the better part of valour I feel.
