MoneyZen portfolio, 2 months

Several people have contacted me to ask how I’m doing with MoneyZen so I decided to give a short overview. For those of you who don’t know, MoneyZen is a P2P (social lending) platform that’s third on the market in Estonia (following Bondora and Omaraha).

I decided to test out the site by adding in about 50€ per month. Currently my first loans have made their first payments and some are already a bit overdue. One of their concepts is having lower loan interest for premium clients, so having overdue loans is a pretty bad sign. Still, this is what my portfolio looks like right now.

moneyzen2monthsI first wanted to make a very conservative portfolio but you can see that there is a complete lack of 900+ credit group loans, so I had to downgrade a bit. As you can see, the average interest for loans is 17,5% – about 10% lower than my porfolio on Bondora.

Questions and comments I currently have

– The credit scoring logic needs a bit more clarification

– I am not sure if the low interest level really justifies itself

– If you want, then it’s probably easy to give out quite a lot of money since there aren’t that many investors on the platform yet

– Significant work should go into making info easier to see for the investor (it’s not very intuitive right now)

– They don’t have an aftermarket, and there is little or no data on revocery

I’m currently planning to keep investing about 50€ per month, meaning that it will take me until summer to reach 100 contracts, which is a reasonable level of diversification. I am hoping to see active development on their side in terms of information/statistics + an overview of how the recovery system works.

 

My social lending portfolio (2014, 3rd Q)

The end of the year is drawing near (only 3 more months to go) and I’m starting to struggle with my investment goal for Bondora. I planned to increase my overall total investments to 4000€, but currently I’m at 2900€ (I’ve overcome last year’s invested amount though!). This means that the end of the year is definitely going to get interesting – I need to invest 1,1K to hit my goal. (1050€ if you take into account Moneyzen investments). Time to get cracking on some side projects it seems.

q3 pie

Overall I’ve managed to increase my portfolio surprisingly well. At the end of the month the account is pretty much dry, and I haven’t even invested into all that many B+ loans. Seems like the supply going up has worked out well for me.

q3 total investments

 

q3 returns

 

You can slowly start seeing the impact of me trying to add more money every month. The Bondora returns chart is hovering above 25% still, it’s been pretty much steady for more than half a year already. I hit a new high point for interest earned (62€ for the month of September), the following months should also bring relatively good growth due to increased monthly investments.

Overall in the past 3 months I have picked up a total of 72 new loan pieces. The breakdown is as follows:

– 71 Estonian loans, 1 Spanish loan

Out of those 71 Estonian loans:

– 9 B+ loans (unverified), 62 verified loans

The unverified loans are 2×600, 2×800, 2×900 & 3×1000 credit group

The verified loans break down as follows:

– 10xA1000, 11xB1000, 19xC1000

– 3xA900, 1xB900, 4xC900

– 2xA800, 2xB800, 1xC800

– 5xA700, 1xB700, 2xC700

– 1xC600

I quite like the B&C credit groups. There is very little competition and they give relatively good value as far as loans go. I could get into way more low level credit loans, but I’ve tried to keep it somewhat balanced. I open up the lower level portfolio builders occasionally to add on a few here and there, but overall I’m happy with how it’s going since I haven’t hit the point where I need to substantially rework my portfolio logic. I’m running on similar settings as before:

q3portfoliobuilder

Platform diversification

I mentioned before that I decided to diversify a bit, so I’ve put 50€ into Moneyzen as well, building a pretty conservative portfolio. The 50 euros was invested (a bit slowly, but still) and the first payments will start coming in in the middle of October. That means that by the end of the next quarter I will have some info to share on that as well. I will probably add in another 50 euros at some point to get a better diversification level there as well.