Crowd-lending portfolio review for October 2018

Website changes​

I published an article that’s not directly related to peer-to-peer lending : Cyclo touring South-East Asia – One year on the road.

While cyclo-touring may not be for everyone, there are two key aspects I want to emphasize :

  • Having a goal is a great way to motivate oneself to save more. As advertising more generally the societies we live in encourage us to always spend more and more money, having a purpose for your savings will help you to be stricter about your expenses.
  • Passive income really works ! As you may have guessed, part of our travel expenses are paid by the crowdlending interests; however, most of it comes from the rental of our flat in a Parisian suburb.

Other than that, not much happened on the website, apart from minor updates to several reviews.

Individual platforms performance

Returns for October were very comparable to September’s. While the last month has been very though for stock-market investors, the peer-to-peer lending sector was much more quiet !

Omaraha​

XIRR for my Omaraha portfolio was stable, at 19.68% compared to September’s 19.70%. My target allocation for this portfolio is around 20% of my overall P2P portfolio, so will I keep on decreasing its size.

Bondora​

Well, it didn’t take long for my Bondora’s portfolio to have sub-10% returns. Maybe for Haloween I’ll dress as Bondora, in order to spook investors…

I’m trying a different approach and re-activated my portfolio manager instead of withdrawing all available money.

Grupeer​

Grupeer‘s XIRR was stable in October, at 14.53% versus 14.48% last month. This portfolio reached its target size, so I won’t increase it anymore.

Mintos

Returns at Mintos were also stable, at 13.12% compared to 13.08% previously.

Swaper

After last month’s decrease, returns for Swaper increased slightly again. They reached 12.08%, up from 11.90’% in September.

RoboCash

Robocash‘s XIRR decreased a lot, from 12.92% to 12.42%. However, this is partially caused by the installment loans; interests for these will only be reimbursed at the maturity date.

DoFinance

Although I had to switch to a new offer yielding lower interest rates, my DoFinance portfolio is still doing well; the XIRR is stable, from 11.88% to 11.81%.

Investly

As most of my Investly funds are now invested, the XIRR stopped dropping. It increased from 7.76% to a still appalling 8.02%.

Crowdestor

October was another great month for my Crowdestor portfolio; XIRR increased from 14.90% to 15.19%.

Once again, this doesn’t reflect the actual performance of the portfolio, as the interests get paid at the beginning of the month while I compute the returns at the end of the month.

Envestio

XIRR for my Envestio portfolio was down, as its computation suffers the same glitches as Crowdestor’s. Its value for October was 14.43%, versus 14.88% in September. 

I increased my portfolio size again, and will continue doing so; my target size is currently 12% of my P2P portfolio, but I may get more aggressive and push it to 20%. It will mostly depend on how much diversification I can get with their competitors.

Other companies

I had successfully exited projects at both CrowdEstate and BulkEstate . Unfortunately, the resulting XIRR is still too low to be realistic.

On the other hand, I should be able to publish returns for my EstateGuru portfolio in November, as well as those for Iuvo.

Global portfolio performance

This value is the average of the XIRR for each company, weighted by its amount. It’s down again, from 15.81% to 15.61%; the main reason is once more the dramatic sub-performance of Bondora, and the fact that I moved funds out of Omaraha.

XIRR evolution​

All displayed returns were computed using the method outlined in this article. Omaraha still produces the best returns, followed by Grupeer, Crowdestor and Envestio.

Current allocation

I once again greatly increased the size of my Envestio portfolio; in addition to this, I slightly grew my portfolios at BulkEstate, CrowdEstate and Crowdestor as all these platforms had interesting projects. It looks like Crowdestor has many projects coming, so I may increase its size much more.

I stopped withdrawing money from my Bondora portfolio, in order to see if it would improve its terrible performance. It’s too early to tell, but for now I’m not too optimistic !

New platforms​

Iuvo‘s review is not ready yet but I should publish it next month.

2 thoughts on “Crowd-lending portfolio review for October 2018”

  1. Hi I’m just reading your reviews and i got really interested in P2P lending investing.The main problem is that i have never done it before and frankly I am a little bit afraid so i would like to learn more about this kind of investing.So i’m asking if you could tell me how should i start or which platform can i use for starters.Thank you again for your reviews i hope i found a great investing opportunity .

    • Hello,

      I’m glad you find the reviews useful !

      Although they’re suffering of a loans shortage right now, I still recommend Grupeer strongly as their platform is very easy to use and offers great interest rates. Just be aware that they don’t feature a secondary market, so you won’t be able to get your money back early.
      Mintos is another excellent choice, although there’s a steeper learning curve due to the many available options; they offer a secondary market and have a large loans volume, although at slightly lower rates (12%) than Grupeer.
      And, if you want to diversify your portfolio through real-estate or business loans, EstateGuru, CrowdEstate and Envestio are all excellent choices, sorted by increasing risk : EstateGuru is the most conservative, while Envestio’s projects are clearly more speculative.

      Don’t hesitate to hit me back via the contact page for any specific question. I know that several readers were a bit frightened by the apparent complexity of Mintos’s auto-invest so I can help you with that !

      Finally, I’ll repeat my usual advises to beginners : start slowly, diversify your portfolio through several platforms / originators / loans, and don’t commit money you may need !

      Have a great day

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