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Author Topic: Enhancements to Automated Note Selling on Lending Club Folio Secondary Market

  • Posts: 300
Based on feedback from Rob L and others, we introduced enhancement to our Note selling feature. New attributes added for sell filter:
  • Never Late
  • Interest Rate
  • Outstanding Note Principal
  • Markup/Discount Range
  • Capability to sell Notes in a Specific Portfolio only
We also improved our ability to identify listed notes for sale that are similar to the note you are selling for better price discovery. The blog post detailing enhancements at https://www.peercube.com/blog/post/enhancements-to-automated-note-selling-on-lending-club-folio-secondary-market
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R
  • Posts: 484
VERY NICE!! Know this was a lot of hard work on your part!
You even figured a very clever way to include "sell from portfolio" to cover all the bases.

I read your Peer Cube blog post.

The comments on Never Late are spot on. Assume Never Late unless certain a loan is not.
This means one will never sell a perfectly good Never Late at a low price by accident.

It may sound counterintuitive but I intend to hold my NOT Never Late notes and let the chips fall where they may.
The Folio market requires very substantial discounts to sell them and I'm at an informational disadvantage to the expert buyers there.
The more I keep the better my diversification; I'll rely on the law of large numbers to deal the cards and let them fall where they may.

Markup/Discount range is exactly what I had in mind (and I implemented what you did pretty much verbatim in my own software).

Is Outstanding Note Principal a number or a range (or a percentage range)? We all know that as Never Late notes mature probability of default declines and the Folio Markup/Discount increases (up to a point). Not sure how you've implemented it, but this could be the most important feature by which sellers may target their offer prices.

Kudos!!





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T
  • Posts: 6588
Rob,

Thanks for the feedback and comments.

from: Rob L on August 01, 2016, 04:57:37 PM
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T
  • Posts: 6588
I decided to address sale of delinquent loans on Folio first so it may be a while before I address Never Late loans. The blog post is coming along slowly. But it is becoming too long so I need to look into splitting it.

How much did you reduce your investment in LC? 50%? Did you redirect funds to Prosper or just reduced your exposure to marketplace lending overall?

Sometime it is easier to just list your portfolio on Folio all the time and let the buyer pick the ones they want or you can narrowly focus using PeerCubeSell portfolio.

from: Rob L on August 11, 2016, 06:37:17 PM
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