P2P Investments – Current Portfolio – Second Quarter 2020

2nd quarter strategy

Investment Strategy for the 2nd Quarter 2020?

We started the first quarter 2020 with a new strategy. We wanted a portfolio with lower risk.

At that point, nobody could foresee the widespread economic impact caused by the Corona virus.

Since March we have seen heartbreaking volatility on the world’s stock markets. The closure of many businesses and unemployment rates on the rise will take their toll in many countries.

How will the P2P Market be Affected?

No doubt, business owners and consumer will still need to raise capital by other means than bank loans. But higher rates of defaults are an immediate risk for both platforms and investors. Capital flight from platforms is also a big concern and may cause platforms to collapse.

In our outlook we assume that some of the platforms with shaky business models will slowly disappear. They will desperately try to tell you the opposite and assure you that your money is safe, but what else can they say?

Strange Communications from ID Finance and Mintos

We have seen some strange communications from many of the loan originators on Mintos, and the repayment system Mintos use seems to be a total mess. We are not impressed by their explanations.

Going Forward

During the second quarter we will withdraw repaid funds from our current platforms, except EstateGuru and ViaInvest. We don’t expect real estate to be hit as hard in the long term and believe in the solid model for consumer loans that ViaInvest has.

We also believe in Peerberry but decided not to increase our investments right now.

The idea is to stick with solid platforms with a proven track record. We don’t believe this is a time for diversification across many P2P platforms.

Active investments at P2P Investments

 

Active Investments

These are the platforms on which we are currently active.

Type: Real Estate/Business
Country: Estonia (61%), Lithuania (20%), Latvia (15%)
First investment: November 2018
Current balance: €11,600
Return: 11.08%
Buyback Guarantee: No

[ Referral – new investors get 0.5 – 1% bonus ]

Current strategy:

Type: Consumer Loans/Short Term
Country: Latvia
Loan originators: viasms.lv
First investment: January 2019
Current balance: €10,700
Return: 11.58%
Buyback Guarantee: Yes

[ Referral link – Earn €15 ]

Current strategy:

Type: Consumer Loans
Country: Poland (99%), Czech Republic (1%)
Loan originators: niewielkapozyczka.pl, pozyczkaplus.pl, martpozyczka.pl, soscredit.cz
First investment: February 2019
Current balance: €7,600
Return: 11.11%
Buyback Guarantee: Yes
Current strategy:

Passive investments at P2P Investments

Passive Investments

These are platforms which we are leaving – at least temporarily – as quickly as funds are dropping in on the account.

Type: Personal Loans
Country: Spain
Loan originators: ID Finance
First investment this year: February 2020
Current balance: €1,300
Return: 11%
Buyback Guarantee: Yes
Current strategy:

Type: Business Loans
Country: Ireland
First investment: December 2018
Current balance: €550
Return: 8.91%
Buyback Guarantee: No
Current strategy:

Type: Business
Country: Not specified (100%)
First investment: August 2019
Current balance: €500
Return: 17.1%
Buyback Guarantee: Yes
Current strategy:

Type: Business / Real Estate
Country: Latvia (80%), Estonia (10%), Not specified (10%)
First investment: October 2019
Current balance: €450
Return: 15.2%
Buyback Guarantee: No (Their fund is no real guarantee for buybacks)
Current strategy:

Closed investments at P2P Investments

Closed Investments

These are platforms on which we have previously invested and withdrawn all funds.

First investment: November 2018
Originally Invested: €2,100
Current balance:
Return: Loss €1,800

[ Possible Scam ]

First investment: November 2018
Invested: €2,600
Current balance:
Return (annual basis): 9.04%

[ Why We Don’t Invest with Fast Invest ]


Iuvo-Group logo
First investment: December 2018
Invested: €1,000
Current balance:
Return (annual basis): 5.32%

[ Review 2019 ]


viventor logo
First investment: Oktober 2018
Invested: €600
Current balance:
Return (annual basis):

[ Review 2018 ]


Cover photo by Gerd Altmann.

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