Crowd-lending portfolio review for November 2019

Website changes

Not much happened on the website this month, and – shame on me – I didn’t even write a new review ! We spent most of November preparing our return to Europe, so I mostly focused on bringing existing reviews up-to-date.

Noteworthy news from the crowdlending world

In case you missed them, here’s a summary of the important news you should be aware of.

Envestio

Envestio released an important announcement : the platform was acquired by a German investor, and they now have a new COO. It won’t change much for us investors, although we can always hope for more loans.

Kuetzal

In the same vein, Kuetzal has a new CEO. Among his priorities, he lists working on the website in order to enhance security and improve ergonomics.

CrowdEstate

Kristi from Money is your friend has written an in-depth article about CrowdEstate’s communication that’s well worth reading for prospective and existing investors alike.

Special offers

Here’s a list of interesting special offers currently available; unfortunately, they all target new investors.

Bondster

Bondster offers special conditions for new investors. Each investor registered through the link on the review will receive 1 % from the increase of the volume of investments held by investor within the first 90 days since registration. The bonus for investor will be calculated and paid out after 30, 60 and 90 days. The bonus shall not be paid out in case there is no increase in the volume of investments held by investor.

Brickstarter

Investors interested in Brickstarter can use promo code: BRICKS during registration. Each investor who uses that code during registration will get 15 EUR extra for investing and 0.5% cashback from investment during 90 days.

Monethera

New Monethera investors who sign up through the link on the review and use the promo code alternative will get 0.5% cashback for 360 days instead of 180 days. This offer is valid only for the 25 first new registrations.

Individual platforms performance​​

As I previously announced, I don’t detail variations for every platform anymore. Only notable variations or noteworthy changes on the platform are commented.

Graphical overview

Bondora

4.57%

November hasn’t brought any improvement to my Bondora portfolio. Indeed, just like the previous months, it lost some of its value. The XIRR has dropped as well, from 4.90% to 4.57%.

Brickstarter

3.10%

For now I only invested in 2 projects at Brickstarter; one of them isn’t even totally funded yet. As a result, the only returns I get are the 5% APR, and my XIRR is only 3.10%. However, I really appreciate this platform and plan to invest in most upcoming projects.

BulkEstate

6.99%

While in October the performance of my BulkEstate portfolio increased, in November it was perfectly stable. The platform has published one project which yields interests monthly; I hope that there will be more of them.

CrowdEstate

6.08%

In spite of delayed repayments at CrowdEstate, interests for several projects are getting repaid, and the performance increased from 5.40% to 6.08%.

Crowdestor

15.50%

Several recent Crowdestor projects will only yield interests after 6 months; the performance of this portfolio will thus temporarily decrease. In November, it went down from 15.97% to 15.50% – still an excellent value, especially considering the presence of a warranty fund -. Many projects were added last month, and I once more increased the size of this portfolio.

Debitum Network

9.79%

In November, the performance of my Debitum Network increased once more. It reached 9.79%, up from 9.22% in October. The review for this platform is half-written; although the returns are a bit low to my taste, this platform seems to have an excellent risk management, making it a perfect match for conservative investors.

Envestio

17.47%

The performance of my Envestio XIRR increased slightly, from 17.33% to 17.47%. A few new projects were released in November.

Fast Invest

12.47%

My Fast Invest portfolio had a slightly decreased performance in November, from 12.58% to 12.47%. I increased this portfolio’s size (which will probably lead to a temporarily lower performance), and plan to keep on doing so.

FinBee

11.12%

The value of my FinBee account keeps playing yo-yo : in November, it decreased sharply again for no apparent reason. My XIRR is now 11.12%, a large drop from last week’s 11.79%. Both this and the debacle of the KYC process prompted me to start greatly decreasing the size of this portfolio’s size.

Iuvo

12.51%

My Iuvo portfolio had a very stable performance in November; it was 12.51%, down from 12.53%

Kuetzal

17.12%

My Kuetzal portfolio delivers consistent results; the performance went up slightly, from 16.76% to 17.12%. Two more projects are announced for December.

Lenndy

4.14%

The performance for my Lenndy portfolio will take some time to build as it’s a recent portfolio. It’s now 4.14%, very far from the 12% theoretical level.

Monethera

18.99%

November was another excellent month for my Monethera portfolio; the XIRR climbed even higher, from 18.84% to 18.99%. There new projects available on the platform prompted me to increase my portfolio’s size once again.

PeerBerry

11.38%

The XIRR for my PeerBerry jumped sharply from 11.62% to 11.38%; I expect it to increase a bit more.

ReInvest24

1.58%

The performance of my ReInvest24 portfolio continues its slow growth; it’s now 1.58%, up from 1.36%. As I mentioned in last month’s review, the 2% fee on investments and the fact that projects don’t yield interests monthly mean that investors will start with a negative XIRR. The platform has announced a new project for December, which I plan to invest in.

Robocash

12.09%

November was a great month for my Robocash portfolio; the XIRR increased from 11.78% to 12.09%.

TFGcrowd

16.28%

My TFGcrowd portfolio is doing well; the XIRR increased from 15.45% to 16.28%. New loans were introduced in November, so I increased the size of this portfolio.

ViaInvest

8.26%

Like most new portfolios, my ViaInvest account is slowly gathering interests; the performance increased slightly, from 8.12% to 8.26%.

Viventor

13.00%

Last month’s performance for Viventor was surprisingly high (14.32%); in November, it went down slightly to reach 13.00%, a value that’s more in line with the loans in my portfolio.

Wisefund

18.96%

Last month’s XIRR at Wisefund was a nearly record 19.64%; in November, as I wired funds ahead of time and less projects were introduced, it went down a bit, to 18.96%. The platform is currently migrating the funds transfer back-end, so it’s not possible to wire funds; in addition, new projects are on hold. Situation is expected to get back to normal soon.

Global portfolio performance

13.70%

My global portfolio performance is now 13.70%, slightly down from last month’s 13.81%. Once more, the culprit is mostly Bondora’s free-falling returns, which impact the performance of my whole portfolio.

Peer-to-peer lending platforms

13.54%

The combination of Bondora‘s decreasing performance and of the lower size of my Omaraha account mechanically decrease the returns for this category. I still plan to decrease the size of my Omaraha portfolio by 1/3 in order for it to reach 15% of my global portfolio, so the returns should keep on decreasing, even if by miracle Bondora’s performance improved.

Real-estate & business crowdlending platforms

13.85%

This category fares much better, as its performance increased slightly – from 13.73% to 13.85% -. I plan to increase the weight of many platforms in this category (Crowdestor, Monethera, TFGcrowd, Wisefund), and my whole portfolio should benefit from this.

Current allocation

I moved a lot of funds around in November. First, there was the usual decrease of my Omaraha account; I also withdrew funds from FinBee. I mostly reallocated funds to Crowdestor and Monethera, but also to P2P platforms such as Viventor, PeerBerry and Fast Invest. It’s a boring task, but will help to have a more balanced allocation between these platforms.

New platforms

I opened and funded two new account, at BoldYield and Lendermarket.

I mentioned Profitus last month, but it’s highly unlikely that I will invest there; indeed, their KYC process is awful, and if I ever manager to clear it I will have to go through a Skype session with Paysera.

Also, funding my Iban account is on hold as I had troubles with my SEPA transfer. Iban’s support reached out to me in order to help with my transfer, which was encouraging; unfortunately I didn’t have time to take care of it yet.

BoldYield

BoldYield focuses on real-estate and business loans, which is rather common; more surprisingly, they plan to work with maritime transportation firms. Until now there’s just one project on the platform, and another is expected in December.

Lendermarket

Lendermarket is a loans marketplace started by loan originator CreditStar. At first glance I really appreciate the platform, which is very straightforward to use. In terms of performance, the loans offer 12% interest rates, which is roughly comparable to competitors such as PeerBerry, Lenndy, Swaper or Robocash.

5 thoughts on “Crowd-lending portfolio review for November 2019”

  1. Hello,
    compliments for your great website and job, both are a valued reference for me to consider where to invest in crowdfunding market and platforms.
    I have been investing for more than one year and I got 2 figures returns from the major part of platforms, so it is great, if you consider that it is more difficult to obtain less from stocks market, and here it is automatic!

    I have a question about te risk and the investiment size.
    Of course the first rule is the diversification, but planning to increase the size of money on each platform of about 10k$ I feel that could be a little bit risky. First of all it is not a real diversification because even if you invest in several different company still you are actually investing in the same market. Many companies are based in balthics states cause of the more confortable rules about money and finace, but if some rule might change or some central bank might decide that theese companies are stealing to much business to banks all theese company might be suddenly affected in their business prospectives.
    My question is what is your maximun size for each company and what is your opinion about the realiability of theese platforms.
    Thanking you,
    ciao
    Fabio

    Reply
    • Hi Fabio,

      Thanks for the compliments ! I agree that getting consistent returns on the stock market is much harder than lending through crowdlending platforms.

      When it comes to increasing your allocation, pleaaase do it slowly. It’s much better to spread the risk between many investments; 10k$ is a lot of money, so don’t rush !

      Regarding geographical diversification, several platforms now offer investment opportunities outside the Baltic states (TFGcrowd or Wisefund, for example).

      My max allocation is around 15% for each platform; the target allocation for each platform is based on how much I trust each platform, as well as how much diversification I can get – I don’t like investing large sums in individual projects -. In addition, I have more trust in platforms that use a buyback fund (Crowdestor, TFGcrowd again) instead of just saying “yeah, trust us, we’ve got you covered”. And of course, platforms with a long track record / great risk management (for example EstateGuru is doing very well when it comes to default recoveries) are my favorite, although I now tend to take more risks and invest somehow agressively in young platforms.

      Have a great day,

      Jérôme

      Reply
  2. Hi Jérôme,
    unfortunately the website doesn’t send a notification when somebody leave a reply, so I am replying a bit late.

    From your text, and form the cake graph in the article, I got that your philosophy is to spread money on the bigger number of platform, so I can also imagine that to see a platform default is assumed to be a quite possible event. In that case what are the tool to claim your money back? I guess no one.

    Please also consider that I wrote about to put maybe 10k on some platform, not on a single investiment inside the platform.

    Ciao

    Reply
  3. Hi Jérôme,

    Concerning Kuetzal, rumors of scam, request for repurchases of loans very important, more response to messages, big difficulties facing cash withdrawals, your feeling ??? ….

    Reply

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