P2P Forum

General Category => Investing - General (not P2P) => Topic started by: finopp on January 03, 2017, 12:00:00 AM

Title: where to invest further
Post by: finopp on January 03, 2017, 12:00:00 AM
Situation: I’ve been in Prosper and LC since about 2008 and enjoy managing to a profit every year, but I am not trained for anything like stocks and such. About 3 years from retirement. Reasonably confident about our financial situation. Have a financial advisor (stocks, mutual funds stuff) but we don’t want to add any more funds to him. (LC and Prosper have been out-performing him for several years.) We'd would like to invest additional money elsewhere.

Present known options:
   Add to our LC and Prosper accounts
   Try diversification into real estate P2P
   Find an additional advisor to handle separate monies
   An Alternative Assets advisor?

Are there other options?
Opinions please?
Thank you
Title: where to invest further
Post by: brother7 on January 04, 2017, 12:00:00 AM
I'm in both Prosper and LC like you. Like a lot of people, I've experienced declining returns this year, with Q4 2016 XIRR = 2.42%. I'm seeking greener pastures and have my sights on real estate crowdfunding. Under consideration are PeerStreet and Fundrise. I'm leaning more toward PeerStreet because of 1) 1st lien position and 2) short 6-24 month loans. If I were in my 20s-40s, I'd consider REITs offered by Fundrise and others. But the lack of liquidity in private REITs probably isn't desirable for older investors, especially if you're close to retirement.

That's my 2 cents. YMMV.
Title: where to invest further
Post by: rawraw on January 04, 2017, 12:00:00 AM


from: finopp on January 03, 2017, 02:57:33 PM
Title: where to invest further
Post by: TravelingPennies on January 04, 2017, 12:00:00 AM
Re: "Really that's all there is to it. On #1, how risky must the borrower be if even with collateral he is paying that rate? My advice is the further away from consumer loans you get, the more Sophisticated you'll need to be. It's not rocket science, but it does take some dedication if you aren't from a credit background."

At first, higher rates didn't make sense to me. After reading why the rates are higher than a bank's I found there are several logical reasons. If I understand correctly, one reason is because the loans are more like bridge loans than long-term real estate loans.

Thanks to both respondents. Sounding like what I was thinking, it confirms what I thought might be the situation.
Title: where to invest further
Post by: TravelingPennies on January 04, 2017, 12:00:00 AM
from: finopp on January 04, 2017, 05:32:29 PM
Title: where to invest further
Post by: TravelingPennies on January 10, 2017, 12:00:00 AM
from: finopp on January 03, 2017, 02:57:33 PM
Title: where to invest further
Post by: Peter on January 11, 2017, 12:00:00 AM
I'm opening a parking garage for wayward self-driving vehicles that achieve consciousness and then run away from (or over) their owners.
Title: where to invest further
Post by: Fred93 on January 11, 2017, 12:00:00 AM
from: nonattender on January 11, 2017, 01:03:03 AM
Title: where to invest further
Post by: TravelingPennies on January 11, 2017, 12:00:00 AM
from: Fred93 on January 11, 2017, 01:15:48 AM
Title: where to invest further
Post by: angusreed on April 16, 2017, 11:00:00 PM
Yes you can find an additional adviser to handle separate situations. In real estate, You can choose some of the best locations to invest your additional money. After that you can hire an experienced property adviser for invest your money on that property.Real Estate Adviser can helps you in many different situations. Adviser will advice you to invest your additional money on which kind of property.
Title: where to invest further
Post by: Skeptical on April 25, 2017, 11:00:00 PM
My wife and I are investing in distressed mortgages. People tend to live longer than they think. This particular investing instrument pays 12% but you must tie your money up for 5 years. I understand if you make it to your 60s, the odds are good that you will make it to your 80s.

This is a small portion of our portfolio. Never bet the family farm.

Good luck on your search.
Title: where to invest further
Post by: EmilyFoxSeaton on August 01, 2017, 11:00:00 PM
from: Skeptical on April 26, 2017, 10:43:19 PM
Title: where to invest further
Post by: TravelingPennies on August 01, 2017, 11:00:00 PM
Those are some high dividends.  I'm not familiar with those two, so I don't know enough to have an opinion about sustainability / NAV.

On energy, though - I went in sort of the other direction last year, allocated toward utilities.  Everyone seems to want to plug their car (computer on wheels) into a wall outlet, now, along with their many other (legacy or new technology) electron-sucking devices, so, it seemed like a nice, longterm, defensive (and, at the same time, trend) play.  Think a lot of people thought utils would be hurt by rising interest rates, due correlation (imagined or real) with bonds, but, in reality, it's not working out that way - and keeping phones (and cars?) charged seems to pay. :)

Some really great marketing around all the electric cars - I like how it's all "eco-friendly" when all they're doing is xferring emissions to wherever their local utility company (burns/turns/transmits) the energy to them... Out of sight, out of mind - I suppose.  Ohwell, it's $.
Title: where to invest further
Post by: SLCPaladin on August 07, 2017, 11:00:00 PM
Quote
Title: where to invest further
Post by: Rude Dude on August 12, 2017, 11:00:00 PM
from: Skeptical on April 26, 2017, 10:43:19 PM
Title: where to invest further
Post by: Skeptical on August 18, 2017, 11:00:00 PM
This is another asset class for the non-traditional portion of my portfolio. The company is called American Home Preservation. They buy distressed loans and then renegotiate the mortgage for the homeowner. The current rate on your investment is 12%. Check it out.

Michael



 
Title: where to invest further
Post by: neals384 on August 28, 2017, 11:00:00 PM
Re. American Home Pres., Wikipedia says:

AHP uses the current value of the home as the basis for determining the modified payments, principal discounts and incentive payments offered to borrowers. As a result of this formulaic approach, borrowers are not required to furnish significant documents in order to obtain mortgage modifications.

So there's your risk factor.  Lost you union job?  Now flipping burgers?  No problem!
Title: where to invest further
Post by: James Adams on January 25, 2019, 12:00:00 AM
I like the idea of property crowdfunding. It is something that seems modern to me, because we are all connected through social media and we can always pool together funds if we like some real estate project.