Crowd-lending portfolio review for August 2021

Website changes

Believe it or not, I finally managed to write ReInvest24‘s review. It’s basically two years overdue but as CreditStar would say, better late than never (see below for the explanation for this somehow cryptic joke).

I don’t think I ever spent so much time reviewing a platform, but as the concept is different from most competitors, I really wanted the review to be as complete as possible !

Noteworthy news from the crowdlending world

The least I can say is that August has been a busy month for most platforms ! The long-awaited regulation is starting to fall in place, resulting in several platforms acquiring a license.

In addition, Viventor‘s downfall seems to be complete, and CreditStar’s audit saga continues.

Lendermarket

CreditStar’s audited financial report was expected in August but is delayed again. According to an e-mail sent to CreditStar’s bond holders, it is “nearly finished”. No expected completion date was provided.

LendSecured

LendSecured is currently running a cashback campaign, which will last until September, 19th. Investments larger than € 500 will be granted a bonus, which depends on the invested amount.

This promotion is valid for all loans on the primary market, as well as for Anchor investor’s loans on the secondary market.

Mintos

Mintos is among the first companies to receive a license – actually, two of them -. Indeed, Latvian regulator FCMC granted them an investment firm license as well as an electronic money institution licenses.

Most investors won’t see a difference, although several small changes were already made. However, it’s now mandatory to complete the suitability and appropriateness assessment.

The transition from loans to Mintos Notes has now officially started; it’s expected to be completed as soon as the beginning of next year.

On a different topic, a large batch of new loan originators joined the marketplace in August. Several of them are rather sub-standard, but GoCredit and CAPEM seem like reliable lending companies. They currently offer single-digit rates, though.

Moncera

Moncera is now part of Placet Group ! This is great news as it makes this platform even more reliable.

ViaInvest

ViaInvest has lowered the interest rate from 12% to 11%.

Viventor

Viventor is basically shutting down. The platform has stopped accepting new investors and from now on, it’s also impossible to invest in the primary market.

Individual platform performance​​

Performance for most platforms was very stable in the last months. Returns for recent portfolios are starting to increase and most are very close to their expected performance.

Lendermarket

14.35%

The performance for my Lendermarket portfolio is excellent. I will definitively grow this portfolio if the outcome of CreditStar’s audited report is positive !

Robocash

12.87%

The performance of my Robocash portfolio has slightly decreased once again. It’s still close to 13%, though; that’s an excellent figure.

Esketit

12.86%

After increasing nicely in August, the performance for my Esketit portfolio is getting close to its theoretical value. There’s still room for improvement, as most loans on my portfolio yield 14%.

Mintos

12.68%

Interest rates for most Mintos originators are stuck below the 10% mark. As many reliable loan originators now have their own platforms, I plan to reduce my Mintos allocation by one quarter and allocate it to Afranga and Kviku.

Performance-wise, this portfolio is very stable.

Afranga

12.34%

I’m very, very happy with my Afranga portfolio. Although interest rates have recently decreased to 14%, it’s still a very interesting figure. This seems to be the platform’s target interest rate; however, they mostly depend on demand and supply so another drop isn’t impossible.

PeerBerry

11.48%

My PeerBerry portfolio requires little maintenance and has a very stable performance – it hasn’t moved much in several months -. Interest rates are amazingly stable and liquidity isn’t a concern.

ViaInvest

11.34%

Maybe I rejoiced too quickly over the end of cash drags at ViaInvest… Indeed, for most of August there was only one large business loan available. In spite of this lack of liquidity, the portfolio’s performance is still firmly above 11%.

Moncera

10.58%

The performance for my Moncera portfolio has increased in August, which is surprising as I have a hard time investing with a reasonable interest rate. Because of the decreased interest rates, I have withdrawn part of this portfolio.

LendSecured

9.68%

I’m overall satisfied by my LendSecured portfolio, although I’m not yet ready to review it properly.

EstateGuru

8.43%

As I received several repayments for my EstateGuru portfolio, I now have idle funds in my account. Current interest rates are very low – often around 8% -, so I may up allocating these funds elsewhere.

BulkEstate

7.99%

As noted last month, it’s a bit hard to correctly track the performance of my BulkEstate portfolio, as partial repayments don’t seem to be handled correctly by the platform.

I’m waiting for several delayed reimbursements which were supposed to arrive in late August. In addition, several loans were extended. I slightly decreased the size of this portfolio as I received the principal for Aleksandra Apartments loan and there aren’t many available projects.

ReInvest24

7.78%

The first stage of ReInvest24‘s “Metropolis 4D” was exited successfully, with a 15% final return. The platform’s track record is starting to take shape !

In spite of several successful exits, the performance of this portfolio is still stuck below 8%. The former 2% fee when investing and the long funding period for most projects explain this rather low figure.

HeavyFinance

3.11%

HeavyFinance is one of these platforms I have a hard time appreciating. Between their use of Paysera, the poor ergonomics and the high minimal amount (€ 100), I’m not a huge fan.

Update: I just realized that the balance on my HeavyFinance account wasn’t refreshing properly. Repayments from July and August finally appeared, so my actual XIRR is 7.57%.

Global portfolio performance

3.27%

After taking a huge hit in 2020 because of the many scams I felt for, the performance of my loans portfolio is slowly recovering. I expect some recovery from the ongoing legal effort – especially Grupeer’s, as at least part of the money was invested in genuine loan originators -.

Current allocation

The size of my loans portfolio was stable in August. I reallocated funds from Moncera to Robocash, Afranga, LendSecured and Esketit because of the low interest rates. I also withdrew a bit from BulkEstate (which I may transfer back once the volume of projects increases), as well as Crowdestor. Finally, I keep on withdrawing all repayments from Finbee and DoFinance as I want to close these portfolios.

Please note that, for readability’s sake, platforms which account for less than 1% of the portfolio are grouped in the “Other” slice.

New platforms

I didn’t open any new portfolio, and don’t expect to do so in the near future, unless some new originator’s platform pops up.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.