Monthly ICO portfolio review

As I mentioned in this post, I started investing a small sum in crypto-currencies through ICOs (initial coin offerings) at the end of 2017. This portfolio is extremely small compared to my P2P lending portfolio.

From now on, I’ll report on the fluctuations of the tokens price on a monthly basis.

Portfolio structure

I invested an equal amount in the following ICOs :

  • Crypto20 (C20), a crypto index fund
  • Symmetry (SYMM), a fund invested in crypto-currencies and ICOs
  • Naga Coin, (NGC) a smart crypto-currency for gaming and trading
  • Signals (SGN), a platform aimed at providing crypto-trading strategies

Current tokens valuation

It may be hard to value a portfolio invested in ICOs. Currently neither SGN or SYMM have real value, as the ICO is not over yet.

The value of a C20 token is published at the project’s homepage; historical NAV can be found in the performance page. C20 token will also soon trade at HitBTC, a crypto-currency exchange. The NAV on December, 31st was $2.91.

CRYPTO20 - NAV Chart

NGC’s situation is even clearer as it already trades at HitBTC. As of December, 31st its closing price was $2.82.

NGC/USD chart at HitBTC

Total portfolio valuation

As I mentioned, I invested an equal amount in all four ICOs. Depending on the crypto-currency used to invest in ICOs, the transaction fees were different. In order to simplify comparison, I will disregard the transaction fees paid initially.

Also, as I bought the NGC tokens during the pre-sale, I got a nice 30% bonus on the price, meaning that I actually bought 30% more tokens for the same price.

In order to make comparisons easier, I gave an initial value of 1 for all tokens. The resulting growth is impressive : around 3 times for C20 ($1 to $2.91), and about 3.6 times for NGC, thanks to the bonus ($1 to $2.82 plus 30% equal $3.66 ). Including the two “idle” tokens, I doubled the value of my portfolio in one month.

ICOs portfolio valuation as of December 2017

 

Will this crazy growth continue ? I’m of course not sure. Overall I’m really confident  in C20’s value; NGC’s price variations remain to be seen. SYMM’s first dividend is supposed to be paid in April, so we’ll see how it turns out !

Future directions

I try to stay informed on current ICOs and trends in crypto space, as I find this topic interesting. However I don’t plan to grow my portfolio much, unless I found a very compelling ICO to invest in. Crypto20 is supposed to create new indexes later (for example for ICOs), so it may provide new investment opportunities.

 

 

P2P lending portfolio review for December 2017

First of all, I wish all readers of Alternative Investments a happy new year !

Overview of the month

The only change to my P2P lending portfolio allocation in December was a size increase for CrowdEstate and BulkEstate.

Returns for most sites are stable or higher than last month, with the notable exception of Bondora.

Current performance

Omaraha

I’m still using Omaraha’s “bonus” feature in order to invest all my funds. The forecasted cost of this feature is a bit more than one euro per month, so I consider it’s worth using it in order to prevent cash drags ! As I mentioned last month, all my new investments are in Estonia; I stopped investing in Slovakia and Finland due to the high default rate.

Computed XIRR is 20.96%, slightly down from last month’s 21.11%. Once again it’s an excellent return !

Bondora

Bondora‘s performance is – again – rather concerning. XIRR for this portolio is 15.86%, much below last month’s 16.73%. I still didn’t decrease the portfolio’s size, as I’m waiting to see whether recovered amounts increase.

Grupeer

In December I invested in many loans offering an additional 1% cashback, which boosted the returns of loans offering an already nice 14% interest rate. As a result, the computed XIRR is a whooping 14.49%, nearly one more point than last month’s XIRR of 13.48%. I really appreciate Grupeer more and more, and if I ever decreased Bondora’s portfolio, I’d invest most funds in Grupeer.

Mintos

I set my auto-invest profile to invest in loans with interest rates of at least 13.5%; there are many of them for long durations so liquidity isn’t a concern. I also got a small bonus for investing in long term loans in December. Compared to a few months ago, Mintos’s loans offer a greater interest rate, so the XIRR keeps on increasing : for December it was 12.54%, versus 12.35% last month.

Swaper

The XIRR value is more or less in line with the expected value for loans offering a 12% interest rate. Last month’s value was 11.36% (after a long period of cash drag), and for December it has improved to 12.54%.

Robo.cash

Last month’s XIRR was a very low 9%, partly because of the lack of loans to invest in. In December the loans volume has greatly improved, and the XIRR is now 10.59%. While it’s still very low – especially for a platform where you invest in loans with 14% interest rate -, I expect the XIRR to improve over time.

Other companies

Like the previous months, I don’t compute XIRR for several companies : Investly, Finbee, Monestro, CrowdEstate and BulkEstate.

Aggregate portfolio XIRR

This is simply the average of the XIRR for each company, weighted by the portfolio’s size. I didn’t compute it previously and was pleasantly surprised by the result : 17.99% ! The high weight of Omaraha explains this great result.

XIRR evolution

Values from October and earlier were estimated or taken from the statistics computed by the P2P company. After November, all values are manually computed.

P2P lending companies returns for December 2017

Current allocation

I only added funds to CrowdEstate and BulkEstate. Portfolios for other companies only grew with the received interests.

P2P lending companies allocations for December 2017

New platforms

I spent some time improving the current reviews in order to reflect platforms improvements : for example Mintos‘ “Loans issuers diversification” feature, or Omaraha‘s more friendly configuration of investments profile. Several reviews are still currently being written, but I must admit I’m not satisfied with them yet.

Maybe I’ll have a look at EstateGuru this month, as it seems like a great way to invest in real-estate, in spite of rather low interest rates.

 

 

P2P lending portfolio review for November 2017

Overview of the month

Not much has changed on my P2P lending portfolio this month. I moved some funds out of Omaraha and into CrowdEstate and mostly Finbee. I’m still writing the review for the latter, which takes time as the website offers many features.

The most important change is that I’m now tracking my portfolio more closely. I computed the XIRR for all my P2P investments and will display this one instead of relying on the value computed by the P2P lending company.

Current performance

Omaraha

I withdrew a small sum (around 1%) as I had a lot of funds not invested. Later in the month, I resorted to use Omaraha’s “bonus” feature. It gives me priority when auto-investing, the cost being some percent of the interests I give back to the platform. Since I started using this technique, all my funds are invested. The effect of the bonus on my returns remains to be seen.

My portfolio at Omaraha now only contains loans from Estonia.

Computed XIRR is 21.11%; while much below the platform’s estimation, it’s an excellent return.

Bondora

XIRR for Bondora‘s portolio is 16.73%. The returns there seem to be slowly diminishing,  so I’m considering lowering this portfolio’s size a bit.

Grupeer

I can finally compute a XIRR 🙂 The result is 13.46%; however as I mentioned in my article regarding XIRR, the fact that I have few large loans tends to under-estimate this platform’s XIRR between two repayment dates. I was unable to invest in any 15% loan recently, so all my recent loans yield 14%.

Mintos

There are still many loans offering 14%, so my XIRR is slowly increasing. My computed value is  12.35%, in line with the platform’s estimation.

Swaper

My result for Swaper’s XIRR is 11.47%; the value is less than expected for loans yielding 12% because of the past cash drag.

Robo.cash

If I consider my account value strictly, my XIRR is a deceiving 9%. Indeed, the accrued interest for many loans didn’t get paid yet, so this reduces the returns. If I include the accrued interest, the value would be closer to 12%. However I’ll use the former value instead, as this difference should disappear as time goes by.

Other companies

There are many platforms for which I don’t display returns yet. The first reason us because my portfolio is too recent (Investly, Finbee) or too small (Monestro). Real-estate crowdfunding will take a while too (CrowdEstate and BulkEstate)

XIRR evolution

The switch from the values displayed by the websites to my own computations creates a drop for this month. However the relative order is preserved.

P2P leending companies's XIRR for November 2017

Current allocation

Finbee and CrowdEstate grew a bit, while Omaraha shrunk slightly.

P2P lending allocation for November 2017

 

New platforms

I actually have no plan to open accounts in a new P2P lending platform, but of course this can change it one sparkles my interest ! I want to spend some time improving the reviews, and updating for example Swaper‘s one in order to include the recent interface changes. Moreover I still have to test Bondora’s “Portfolio Pro” feature.

See you next month !

 

 

P2P lending news for November 2017

End-of-year is usually a busy time for most businesses, and P2P lending firms seem to confirm this rule. Quite a lot of things happened in this area, with many new features being added to several P2P lending websites.

Swedish Krona loans at Mintos

“Sweden-issued loans listed on the Mintos marketplace by Aasa range from SEK 9 700 to SEK 50 000, with repayment period from 6 to 36 months. The average net return to investors will range from 7 to 13%.” (Mintos newsletter)

While the fluctuations of exchange rate don’t incite me to invest in other currencies than Euro, Swedish investors will probably enjoy this diversification opportunity !

Auto-invest feature for Crowdestate

“Starting from November, Crowdestate’s investors have access to a new, automated investing function – just enable Autoinvest, ensure that there are sufficient funds on your account and an investment order will be made into any opportunity matching the parameters.” (CrowdEstate newsletter)

I updated CrowdEstate review in order to mention this useful feature.

Google 2-step verification for CrowdEstate

“Ever had trouble receiving the SMS code necessary to verify an investment order? Now there is an alternative way – Google Authenticator.” (CrowdEstate newsletter)

Note that activating this feature will also require you to use Google Authenticator at login.

Mozipo Group adds personal loans from Denmark to Mintos

“Denmark-issued Mozipo Group loans listed on the Mintos marketplace will range from EUR 65 to EUR 945. The repayment period will be up to one year. Investors can expect an annual return of 11%-13%.” (Mintos newsletter)

As usual, don’t forget to update your auto-investment settings accordingly !

TWINO reaches €200 million milestone

This month we have reached an important milestone, EUR 200 000 000 in loans funded through TWINO Investment Platform.(Twino newsletter)

While I’m not crazy about Twino, it’s great to see them growing. Increased competition between platforms can only be positive for investors !

One million euro milestone reached by DoFinance

“It is my pleasure to announce that DoFinance has attracted an investment of one million euros” (DoFinance newsletter)

I appreciate DoFinance’s simple ofter and enjoy seeing that they’re doing great

Mintos offers ability to filter automatic and manual investments via the originator’s risk category

“(…) you can now tailor your investments according to loan risk categories which are based on loan originators’ unique internal scoring models. Risk categories link expected annual bad debt rate with the interest rate offered to investors on Mintos” (Mintos newsletter)

With this another additional filter available (although currently only for DEBIFO and Capitalia originators), Mintos enhances even more our ability to control our investments.

New Spanish issuer for Mintos

“EuroOne loans available for investment on the Mintos marketplace will range from EUR 300 to EUR 1 000, with a repayment period of up to 30 days. The average net annual return to investors will range from 11 to 13%.” (Mintos newsletter)

Don’t forget to update your auto-invest settings in order to add this issuer !

Mintos offers GBP loans

“Mogo loans available on the Mintos marketplace for investment in GBP will be the same as Poland-issued loans already listed on Mintos in PLN. Loans will range from GBP 254 to GBP 7 350, with a repayment deadline of 6 to 48 months. The annual net return to investors will range from 8.5% to 13%.” (Mintos newsletter)

I was actually surprised to read this announcement as I believed that GBP loans were already available. Just like the investments in Swedish Krona, that’s yet another diversification opportunity for investors

Swaper redesign

“Next time you log in you will be greeted by a new account Overview; a reworked Auto-Invest Portfolio functionality; identification document upload functionality along with several overall user experience improvements.” (Swaper‘s Facebook page)

Details about the changes can be found here. I’ll soon update Swaper’s review on Alternative Investments in order to reflect these changes. I’ll also check if this removes the need to create several auto-invest portfolios in order to have all the funds invested

 

XIRR computation for your P2P lending portfolio

Several P2P lending sites display the XIRR (extended internal rate of return) of your portfolio. However many of them don’t provide this information.

Here I will show you how to easily compute it yourself using Google Sheets. It will allow you to easily compare returns between your different P2P lending portfolios.

You could also use a spreadsheet program on your computer, but Google products give you access from anywhere, and you won’t lose data if your computer dies.

Theory behind XIRR computation

The XIRR answers a basic question : given a number of deposits / withdrawals and the current value of the portfolio, at which interest rate would I need to invest the deposits in order to reach the current value ?

Note that it doesn’t mention anything about the actual investments taking place in your portfolio. Indeed, it values an theoretical portfolio in a uniform way, which allows us to compare the returns from different portfolios just by knowing the deposits, withdrawals and current value.

Sample computation : Swaper XIRR

I’ll use my Swaper account as an example of XIRR computation.

Find the required data

Log on to your Swaper account. If you don’t have one, don’t worry; I’ll display the necessary data below.

Go to “Overview” -> “Account Statement”. First enter a “From Date” earlier than your first deposit. Under “Transaction Type”, select “Deposits” and “Withdrawals” then click “Search”.

In my case, it displays my initial deposit and three withdrawals.

Swaper deposits and withdrawals

The current value of your account can be found under the “Overview” -> “Summary” tab. As I’m writing this article it’s 517€.

Not that we have all necessary data, let’s move on to the dirty part !

Input the data on Google Sheets

The sample spreadsheet I created can be found at Google Sheets.

Go to Google Drive, create a new spreadsheet.

When inputing the data, we must follow some basic conventions. Deposits as well as the current portfolio value should be entered as negative values, while withdrawals should be positive.

On my spreadsheet I sorted the lines according to the date, but it’s not necessary for the computation to work. I only did so in order to enhance readability.

I inputted the date for the last line (current value) in a special way : instead of typing today’s date manually, I use the formula “=now()”.

On the next column, I finally entered the formula for the XIRR : “=XIRR(D2:D6;C2:C6)” where D2:D6 is the amounts range and C2:C6 the dates range.

Google Sheets XIRR Input

The XIRR is initially displayed as a decimal number. Select the cell and choose “Format” -> “Number” -> “Percent” to switch to a more user-friendly format.

Similarly, I also formated all dates using “Format” -> “Number” -> “Date”.

Here’s the resulting sheet : (ignore the rightmost part which we’ll use in a moment)

Note that the result differs slightly from the one computed on Swaper’s website : 11.32% on Google Sheets versus 12.09% on Swaper’s website.

Checking the result

We’ll check this result by using the definition of XIRR I provided earlier. We need to actualize each amount using the FV function, which computes the future value of an invested amount.

In a column at the right of the first amount, enter the following formula : “=FV($D$8/12, int((now() C2)/30), 0, D2)“.

The parameters are :

  • the interest rate; in this case I referenced the cell containing the XIRR computed by Google Sheets. Note that I escaped “D8” into “$D$8” so that it will be immutable when I copy this formula
  • the number of repayments : I divided the number of days between the date and today by 30, which once truncated is a rough estimate of the number of months elapsed since this date
  • the payment amount, which is 0 as we don’t withdraw or add money
  • the initial value

I then expanded this formula in order to compute it for all amounts, and added one cell containing the total. The sum of all future values is 520.58, close enough to the actual 517€. This small difference is in part due to the way we computed the number of months.

Compute future value of amount

Sum future values to check XIRR computation

Finding the required data on your P2P lending websites

Bondora

You have to generate a new report. This has the advantage of allowing you to copy-paste data from the generated report directly into Google sheets !

Grupeer

Use your account statement, under “Overview” -> “Account Statement”. Then search “balance” to find the deposits (I didn’t withdraw money from Grupeer so I’m unsure what the label for them is). You’ll have to input the data manually in Google Sheets.

Mintos

Under “Account Statement”, choose the proper start date. I had to select several payment types : “Deposits” and “Withdrawals” of course, but also “Currency exchange fee”, “Incoming currency exchange transaction” and “Outgoing currency exchange transaction”. This was necessary as I transferred some money from my Euro portfolio to my GEL portfolio and vice-versa.

Just like with Bondora, you  can download the result.

Omaraha

I didn’t find any way to get a detailed account statement. As a result I had to use my bank account statements instead !

Robo.Cash

Go to “Account statement”, and choose the right start date. The resulting statement is downloadable. Deposits are labeled as “Adding Funds”

DoFinance

Under the “Transactions” tab, you can choose to view either the deposits or the withdrawals.

Discrepancy with the “official” XIRR

As mentioned above, my computed XIRR for Swaper is lower than on the website. I’ll get in touch with them for an explanation.

Similarly, my result for Grupeer is 12.46%, which seems a bit weird as all the loans yield more than 13% and there’s been no default. This is because my Grupeer portfolio is made of few large investments, leading to only a few large repayments during each month. Between two repayments, the XIRR drops.

Most other portfolios contains much more loans, which allow the XIRR value to fluctuate smoothly during each month.

XIRR on alternative investments

P2P lending companies reviews

I used to quote the XIRR displayed by the website. I will update the articles in order to reflect the computed XIRR.

Monthly P2P portfolio review

In a similar way, the I will now use my own XIRR computation when displaying returns. This will allow to compare P2P lending companies more accurately.

Long-term investments and XIRR

Real-estate investments usually pay interests only once the project is completed. As a result, I’ll only display XIRR for BulkEstate and CrowdEstate once they’re meaningful.

In conclusion

Tracking XIRR monthly with this method is easy. It’s very easy to update it each month by taking into account the deposits and withdrawals, and updating the current value.

This will allow you to track your portfolio performance in a much better way !

 

 

Crypto20 ICO : investing in crypto-currencies

So, finally, Crypto20 ICO will be my entry point to the scary world of crypto-currencies.

I’ve been interested in this topic for a while, but never dared to start investing. There were several reasons to this : a lack of trust towards most platforms, the apparent complexity of crypto-currencies world, and finally the crazy rise of bitcoin which made me fear a large pullback.

Recently, my interest towards this topic was sparkled again by the announcement that the CME (Chicago mercantile exchange) would launch bitcoin futures. And today, a little out of the blue, I decided to get involved in Crypto20 ICO (Initial Coin Offering).

Although I already had an account at two exchanges (Kraken and Coinbase), the process was far from intuitive for the beginner I am. This post aims at summing up the different steps I took. But first, what is an ICO ? And what about Crypto20 ?

Initial Coin Offerings

Basically, an ICO is similar to an IPO (Initial Public Offering). It allows a startup to raise money (actually, crypto-currencies). The investors receive tokens; these tokens can later be traded at an exchange. After the ICO, no new token will emitted, so their value will fluctuate depending on supply and demand.

Note that unlike IPOs, ICOs are not regulated. Also if you’re a US citizen, you cannot legally invest in ICOs.

Crypto20 ICO

Crypto20 aims at creating a tokenized index fund of crypto-currencies.  It will incorporate the 20 crypto-currencies having the largest market cap, with a maximum weighting of 10%.

Note that there’s another upcoming ICO called Rhea Crypto20, which is totally unrelated as it aims at creating a derivatives market.

Investing process

I followed these 3 steps :

  • opening and funding a Coinbase account
  • creating a wallet
  • registering for the ICO

For my first investment I chose to send bitcoins to Crypto20. However, as you will see the fees were very high for my small invested amount. You may want to experiment with other crypto-currencies !

Opening a Coinbase account and funding it

I chose to fund my Coinbase account rather than my Kraken account as the company seems more trustworthy.

The process was rather simple, however the identity verification took a long time. Don’t expect your account to be up and running in a few minutes !

Wiring funds (Euros in my case) was extra simple, and they reached my Coinbase account the next day.

Buying crypto-currencies

They will be used to fund the ICO. This is an easy part : choose “Buy/Sell” on Coinbase, select the crypto-currency you want to buy. Then input an amount in fiat currency (Euro in my case) and validate after checking the amount and fees. Note that for my small amount, the fees are rather large for this transaction ! Fees for either Ethereum (ETH) or Litecoin (LTC) would be the same amount.

Exchanges other than Coinbase may have different transaction fees.

Buying BTC in Coinbase

Creating a wallet on MyEtherWallet

You’ll need a wallet to store the tokens issued by Crypto20. Actually you already have an exchange wallet, but it’s not a token compatible Ethereum wallet. I chose to use MyEtherWallet, which seems to be more or less universally recommended.

I expected to be asked for an e-mail address in order to identify me, but all you actually need is a password.

Wallet creation at MyEtherWallet

This password will actually be used to encrypt data stored in a file giving access to the wallet. This file can be downloaded from the next screen

DownloadKeystore file from MyEtherWallet

Save it in your computer ! You will need it to access your wallet again.

The next screen will display your private key, which you should print.

Finally, in the next screen, you can see your address (aka public key). You will need it during the Crypto20 registration.

How to view your wallet in MyEtherWallet

Use the “keystore / JSON file” option, select the file you downloaded, type the password you set at the very beginning and press “unlock”.

This will display the following screen :

Wallet info on MyEtherWallet

There you can  see your address again and your account balance. ICO tokens will also be displayed here.

I hope you survived this rather annoying part !

Registering for the Crypto20 ICO

The process is well documented and rather straightforward.

During the third and last step, you will have to input your public key public key (“receiving ethereum wallet”).

Sending the funds to Crypto20

This part is also easy. Go to step3 again on Crypto20’s website. The receiving address will be displayed for each crypto-currency.

Crypto20 investment address

Log in to your Coinbase account again, select “Accounts”. Choose the crypto-currency you bought earlier and click the “Send” button.

Send BTC through Coinbase

Fill in the address, the amount in either EURO or BTC (your can also use a “Max amount” for BTC), check the fees again, and validate. Please note that the fees depend on the network congestion.

At the time I took this screenshot the fees very rather insane : 5% for a transfer ? That’s not what I expect from a digital currency. I should have researched this earlier, as other crypto-currencies seem to have lower fees overall ! On the other hand, transfer fees for the same amount in Litecoin were only… 0.01€. Needless to say I strongly encourage you to use Litecoin in order to invest in ICOs ! Another Litecoin benefit is transaction speed : buying Litecoins then transferring them was much faster than with Bitcoin. I made yet another experience using Ethereum later, and transfer fees amounted to 0.17€, which is more than Litecoin but obviously still neglictible compared to Bitcoin’s huge costs.

Note that other ICOs may work slightly differently. Another ICO I invested in didn’t ask me for my wallet address, but directly used the address I used to send the crypto-currencies. In this case, as this address has to be a token compatible Ethereum wallet, I had to transfer the currencies to my MyEtherWallet first, then transfer them from MyEtherWallet to the ICO.

The whole process may seem a bit overwhelming the first time you invest; take your time and don’t hesitate to double-check everything twice. After investing in a few ICOs everything will seem much more logical and natural !

Check your token balance

Coinbase will send a notification once the transaction has been processed. You can then check your Crypto20 account. Note that even after receiving Coinbase’s notification, it may still take some time for your balance to be updated.

Crypto20 investment breakdown

Finally, you can also check that the resulting token appeared in your wallet. Once again, it may not appear immediately as Crypto20 sends them once a day (actually in my case it even took two days, so be patient !). Go to MyEtherWallet, select “View wallet info”, select your UTC/JSON file and enter your password. On the next screen, click on “Load tokens” under “Token Balances” at right of the screen. This will display your Crypto20 coin (listed as C20).

MyEtherWallet tokens

Adding a custom token on MyEtherWallet

Recently issued tokens may not be visible in MyEtherWallet’s list. Don’t panic ! In this example I’ll show you how to add the SGNL token (for Signal ICO)

Using another browser tab or window, go to ethplorer and enter the token name (SGNL in my case); a popup menu will appear and list the matching tokens. Select the right one; you’ll then be taken to a new page.

The relevant informations are located in the middle of the screen.

Token information on Ethplorer

Go back to Coinbase tab or window, click “Add custom token” and fill the required informations :

  • Token Contract Address : visible under “Contract information” / “Contract” on Ethplorer
  • Token Symbol : SGNL in my case
  • Decimals : visible under “Token xxx information” / “Decimals”

Click “Save”, and the resulting token will appear !

Congratulate yourself

Congratulation ! You’ve successfully invested in Crypto20 ICO.

Next steps

I’m planning to invest in other ICOs, the next one being CyberTrust which is scheduled to start next week. However, the global amount invested in ICOs will be very small compared to my overall portfolio.

Before doing so, I will do some additional research regarding transaction and transfer fees, as my bitcoin transactions have been very expensive ! I will probably invest using Ethereum or Litecoin in order to compare the fees with Bitcoin.

Links

Coinstaker provides an excellent introduction to ICOs

CryptoRated provides an ICO calendar and reviews

Last updated on January, 11th 2018.

 

 

P2P lending news for October 2017

Halloween is already gone ! This means that October is over. It’s been a quiet month for P2P lending, so this edition of P2P lending news will be rather short !

Legal entities can now invest in DoFinance

By expanding range of services, p2p platform (P2P) DoFinance is now available for investments from legal entities as well.(DoFinance newsletter)

That’s great for companies who want to invest in P2P, especially if they can get the 14% loyalty bonus. The required portfolio amount is 5000€ so it shouldn’t be a concern for most firms !

Record interest rate for GEL loans at Mintos

“For a limited time only, one of the world’s leading fintech companies, ID Finance, will be offering on Mintos an increased interest rate of 17.5% for their loans issued in Georgia. This great offer was announced during our webinar on October 19, 2017.” (Mintos newsletter)

While the interest rate itself is extremely high for secured loans, please take into consideration the exchange rate of Georgian Lari (GEL) against your own currency ! I used to have a GEL portfolio and ended up closing it because of the exchange rate evolution.

Alternative Investments is mentioned in DoFinance’s newsletter !

DoFinance is the easiest way to invest in P2P loans, the review of DoFinance on Alternative Investments concludes.” (DoFinance newsletter)

I was very surprised and of course very happy to see my blog mentioned !

Russian loans in Swaper

“We are glad to announce that following Denmark and Spain, Russia is the latest expansion of operations from Swaper’s parent company Wandoo Finance. Russian loans listed on the platform come at the standard 12% rate, range from 3-6 months, are BuyBack guaranteed and are available from today.” (Swaper newsletter)

This may finally be the end of Swaper’s loan volume troubles. Congratulations to them for finally solving this long-lasting concern !

New issuer in Romania for Mintos

“Romanian-issued Mozipo Group loans on the Mintos marketplace will range from EUR 22 to 3300, with a repayment period of up to five years. The average net annual return to investors is expected to range from 9 to 14%. Initially, the loan originator will list loans in euro; loans denominated in Romanian lei (RON) will be added to the Mintos marketplace soon.” (Mintos newsletter)

Mintos continues attracting new issuers, contributing to make it one of the most diversified p2p lending platforms available !

New Swedish issuer for Mintos

“The average Sweden-issued loan that Aasa will place on the Mintos marketplace will range from EUR 1 000 to EUR 2 000, with an average repayment period of 6 to 36 months. The loan originator will initially offer to invest in euro (EUR). Loans denominated in Swedish krona (SEK) will be added to the Mintos marketplace soon. The average net return to investors will range from 7 to 11%.” (Mintos newsletter)

I actually missed this one when writing this post, so I updated it

Mintos removes secondary market fees

“Starting from today, November 1, 2017, we have removed the 1% fee for selling loans on the secondary market of the Mintos marketplace.” (Mintos blog)

I never used their secondary market but it’s always good news to see platforms reducing or removing fees.

 

P2P lending portfolio review for October 2017

Overview of the past 2 months

So, first, I have to apologize for the lack of posts. I had time to write new reviews (for Investly and CrowdEstate), but I’ve been lagging behind on portfolio reviews and other topics. This is due to a large change in my personal life, which took a long time to prepare… More on this soon !

I moved quite a lot of funds around, mostly withdrawing them from ViaInvest and Twino. I used most of them to create new portfolios on Investly and Finbee.

Current performance

Omaraha

12 months XIRR is currently 25.8%, which while being excellent is one percent lower than 2 months ago (26.8%). This is mostly due to many defaults in my Slovakian portfolio : they reached a very high level of 5.5%, while this rate is only 0.7% in Estonia ! As a result I stopped investing in this Slovakia in order to focus on Estonia. I may even decrease my Omaraha portfolio size a bit, as there is always a little bit of idle funds there. My portfolio size at Omaraha is around 57% of my total P2P assets; this percent decreased because I added more funds in other websites.

Bondora

XIRR for Bondora‘s portolio was 17.61%, down from 18.18%. I still didn’t test the “portfolio pro” feature but I really should do so in an attempt to boost my returns ! Bondora accounts for 18% of my overall portfolio, and I don’t plan to grow it.

Grupeer

All my recent investments there have been in loans offering a 14% interest rate, sometimes even 15% for loans from Russia. My XIRR should thus now exceed 14%. I increased my portfolio size there and may add even more funds later. Currently a bit more than 7% of my funds are invested at Grupeer.

Mintos

XIRR for Mintos was 12.19% for secured loans in Euro, stable from 2 months ago. I closed my GEL (Georgia Lari) portfolio; it was performing very well (16.75% interest rate) but the exchange rate variations cancelled most of these gains. I reinvested this amount in secured Euro loans, which now offer nearly 14% for long durations; that’s a great offer !

Swaper

XIRR of my Swaper portfolio was a bit higher than previously, at 12.06% against 11.77%. This is due to more loans being available, greatly reducing idle funds. It’s nice to see that Swaper finally has a large loans volume available !

ViaInvest

I closed out this portfolio. This was a bit painful to do as I had to trigger a manual buyback for each delayed loan !

Twino

Another portfolio reduced to zero. Many investor seem to be leaving this platform (see for example Kristi’s post) which is a bit concerning for their future.

Robo.cash

They don’t display an XIRR. My funds are invested in 14% loans, which is great, however there are often around 10-15% idle funds.

Other companies

My Monestro portfolio is still too young for me to publish returns, as are my Investly portfolio and my very new FinBee portfolio. Regarding real estate crowdfunding (CrowdEstate and BulkEstate), they’re long-term investments that will only pay interests once the project is completed, so I won’t post any performance results until next year at best !

XIRR evolution

P2P platforms returns for October 2017

Current allocation

The disappearance of Twino and ViaInvest is compensated by the creation of new portfolios. Overall the largest allocations (Omaraha and Bondora) decreased in percent, as I grew several smaller accounts (mostly Grupeer and Robo.Cash).

P2P allocation for October 2017

New platforms

As I mentioned, I opened accounts with Investly and Finbee. Reviewing Finbee will take a while as the platform is very rich. Luckily this doesn’t seem to come with a large complexity.

I actually have great expectations for FinBee; if this platform performs well I may move some funds from Omaraha there, in order to enhance my P2p portfolio diversification.

 

 

Website updates – 2017/10/08

New P2P lending websites reviews

I invested some funds in both BulkEstate and Robo.cash last month. The reviews are online, and the comparison page has been updated accordingly. The next review should be CrowdEstate, which looks rather promising !

P2P lending news for September

In case you missed it, I posted the monthly review of P2P lending news for the past month.

New article

I wrote a new article comparing P2P lending and mutual funds. It’s still a work in progress as there’s a lot to be said; for example, I don’t mention tax issues at all for now.

Misc changes

I updated Swaper review in order to reflect the (somehow) improved liquidity. I also improved Omaraha review in order to make it more helpful for people struggling with the very peculiar ergonomics of their website.

 

P2P lending news for September 2017

September is almost gone… Here are the news I gathered from various sources regarding the websites I use for P2P lending.

Swaper interface improvements

“We are planning to move towards combining Portfolio investment tool with Auto-Invest tool into one – Auto-Invest Portfolio. The improved feature will cater to both types of investors – those looking to specify their own criteria for investing and to those looking for a one-click investing experience without adjusting many details” (Swaper newletter)

That’s a welcome change, and will make their user interface even easier to use ! As of this writing, the change hasn’t been pushed in production yet.

Swaper auto-invest change

“Currently, when creating Auto-Invest schemes investors are able to specify ‘investment in one loan’, i.e. how much will be invested into a single available loan. This will be replaced with ‘max investment per loan’. (…) This change also means you do not need a lot of Auto-Invests to ensure your money gets invested. With one active Auto-Invest your money is just as likely to be invested as with ten (assuming same selection criteria).” (Swaper newletter)

Yet another important improvement. With the improved loan volume, will this be the end of the troubles with Swaper ? Time will tell !

Swaper loyalty bonus changes

“We have rolled out the planned changes to our Loyalty Bonus. As announced last month, to obtain the +2% bonus to your investments your account value needs to be 5000 EUR (or equivalent in GBP or PLN) or higher for three consecutive months. Similarly, if your total account value drops below 5000 EUR (due to withdrawals) for three consecutive months the bonus is revoked.” (Swaper newletter)

New Bondora feature : “Remove loans from sale when borrowers make payments”

“This week we introduced a new feature which allows you to remove your investments from sales when a borrower makes a payment. (…) Once you activate the feature, you can be confident that you’re selling loans on the assumption of up-to-date payment information. If any payment is made, the loan will automatically be re-evaluated and cancelled from the Secondary Market sales.” (Bondora blog)

New Russian originator for Twino

“We have increased the Russian loan supply by adding our second originator. Already more than EUR 1.5 million have been funded during this time.” (Twino newsletter)

Note that this actually took place in August but was only announced in September

New issuer in Bulgaria for Mintos

“The personal loans Cash Credit is set to offer investors on the Mintos marketplace will range from EUR 100 to EUR 1 000, with a repayment period of up to 18 months. The average net annual return to investors will range from 10 to 12%.” (Mintos newsletter)

It’s time to update your auto-invest yet again 🙂