As announced before, here is the second part of my top 10 with ranks 6 to 10 (follow me to places 1 to 5). A reason for the splitting was that my first post was long (approximately 850 words) and I did not want to bore you with 1’700 words in one post.
|Rank||Platform||Yield (XIRR)||Link to posts|
|7||Linked Finance||9.63%||Linked Finance|
Viainvest loses one rank and resides no in the bottom five. One reason for this move ist hat they lowered the interest rate on Spanish loans from 12 to 10 percent. I don’t know if this is just a test by Viainvest to see if these loans get sold at a lower rate or not. Or if they had more defaults then expected in that market and want to increase their margin (more defaults -> more capital needed)? This is just speculation. On the other hand my cash quota increased a little bit, which is not making me happy (but far from frustrated). At the end of the day Viainvest is a stable marketplace, with a solvent owner (Via SMS Group).
Irish marketplace Linked Finance climbs 3 places and ranks now at number 7. The Reasons: I am with the platform for more then one year now and did not have any defaults. Only one loan was delayed and on the first day of the delay I got a message from Linked Finance and they got in touch with the borrower. After some days the payment was received and the borrower respected the schedule. The Irish marketplaces seem to know their business (check out Flender for example). There are lots of new loans, but they get filled very quickly. You will need to configure an autoinvest. I am happy for Linked Finance that their business seems to grow.
French marketplace Lendix seems as well to have a good credit scoring system. I am with the platform for more then one year and I have not experienced any delay nor default. The support works outstanding. The interest rates were relatively low compared to the baltic marketplaces, from the beginning. In my opinion Lendix loans should better be compared to corporate bonds then Baltic Loan Originators. So with this point of view I don’t care about the lower rates (they are still very good). During the last weeks I noticed a drop in interest rates. Further two loans were paid back prematurely (at least I got 2% Bonus interest). I guess the borrowers found a cheaper source of funding. So I guess we won’t see any rise in interest rates in the coming months. For the first time I invested in a Spanish loan, hopefully I won’t regret this decision (according to stats there are no defaults from Spaniards during the first 7 months since launch).
My only platform from Down Under (are there even more?) makes me happy. Payday is on the firth of every month and no payment was missed so far. I doubled my holding there. Transferwise borderless account offers a personalized AUD account now. This makes transfers between accounts really easy. I already tested it (if you withdraw you have to fill out a kyc/aml procedure and give some informations plus utility bills etc (as with any other platform in the UK for example).
This special, from the handling point of view, platform performs very well. DoFinance informs me when loans get repaid and I can reinvest smoothly. There is not a lot say more at the moment. We need to see how this plays out, the loan originator and the marketplace itself are pretty young. Please remind yourself that if you cancel an investment before maturity, you can loose all interest accrued.
There are other platforms which I considered for the top 10. Flender for example, no payment delays etc, but the funding period is too long and only a little dealflow. If this will be better, then I guess Flender is a top 10 candidate. Peerberry as well would be a valid candidate, but the marketplace is too young at the moment for a serious consideration. Iuvo is not bad either, but not top 10 material at the moment.
That’s it for now, hopefully you found something interesting.