Mintos returns at 1,5 years

Mintos is running another campaign to catch new investors, since it seems like they’re getting a lot of new originators, so I thought I’d take a look at how my portfolio has been doing.

I started building my company portfolio in Mintos a year and a half ago, with the plan of having a very passive part of my portfolio there. There is a lot of originators to choose from, there isn’t really a lack of loans, and the current 12%+ returns with close to zero effort is a bit too good to be true long term, so might as well enjoy it.

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Pretty much all the money you transfer in gets pretty much instantly invested unless you have a very specific criteria (very short loan terms, very limiter originator selection). For me, my portfolio is very heavily mogo loans focused, but overall I haven’t really put a lot of effort into managing or perfecting my Mintos strategy.

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Interest wise, I was steadily adding money month-by-month. The small drop thisy year in interest growth is because I stopped adding money in February. This isn’t due to anything Mintos did, it’s because I just needed to stack up some cash since I’m in the process of applying for a mortgage.

Overall, at about 4K invested into the portfolio, it’s about 40-45 euros interest per month, so at this rate, it’s a nice 500+ euro investment per year that is about as low maintenance as it can be. Definitely going to keep boosting it once I’m able to direct more money back into investments, especially since Twino seems to be struggling to offer short term loan volumes, so Mintos has pulled ahead in terms of money invested, for my portfolio at least.

 

 

20 thoughts on “Mintos returns at 1,5 years

  1. thanks a lot. for about the same time I have about the same experience as you except I have almost only short term BB loans my return is 11.80%.

    Also I would warn readers about Mintos currency exchange service, despite interest rates are higher in other currencies, you will loose everything in fees which are 2% each way at the best.

    what is your opinion about twino future ?

    thanks again for everything

    1. I’ve kept away from other currencies, it seams unreasonable to have them in your portfolio if you live in an EUR based country + the amount of non-eur loans is really tiny anyways.

      I think Twino will continue to be OK, they have just hit a growth wall – Mintos can keep adding originators, Twino however just cannot keep increasing loan volumes. I’ll keep Twino as a part of my portfolio for diversification, but I don’t really see myself increasing the amount invested there when Mintos offers so much more variety without any of the cash drag issues that Twino has.

  2. Thank you for the post. I made the mistake to try out currency exchange in Mintos, when they offered 0% exchange rate at first :) So I have about 800 GEL on my portfolio because I was too curious.

    Kristi, I have a question for you about Estateguru. Do you have investments there and what do you think about them? How do you compare, risk wise, Mogo car loans vs Estateguru projects?

    1. Ah indeed, I suppose quite a few people tested it out at start and are maybe stuck now with some other currency.
      I do not have investments with Estateguru. Two reasons – I have investments in CrowdEstate since I trust them a bit more, secondly I like the flexibility of Mintos (for example mogo loans), since EG doesn’t have a secondary market in case I wanted to exit. The interest rates are also, pretty similar, so I don’t see the need to diversify to a 5th portal at the moment.

    1. Hey, Sean!
      If you’re interested in portals that offer buyback, then Latvians have several options, most of them with way smaller volumes though – Viainvest, Viventor, Swaper being the three which seem most active at the moment. They all have a variety of buyback guarantee loans, but nowhere near the 10+mil volumes that Twino and Mintos manage.

    1. Aurimas, I don’t feel secure depositing anymore than 4000-5000€ into Twino or Mintos and was looking for diversification options.

  3. Hi. I’ve noticed that mintos and won’t immediately invest my money. Sometimes the free money stays on my account for 3+ days, even though you can see that there are loans (in the manual investment list) that match the autoinvest criterias.
    Have you any idea, why is this happening?

    1. One thing that sometimes helps is activating and deactivating the autobidder. The second thing being, there is some strange inner queue system that Mintos autobidder uses, that sometimes seems to think that you have to wait in line to get loans, even though there are loans that fit your criteria. I haven’t experienced the issue myself for a while, since I just lowered the min rate by 0,5%, so that I wouldn’t have to keep an eye on whether the money circulates properly.

    1. It is known that some originators are linked to Mintos, and it’s a transparency issue (which they’ve gotten a bit better at). This particular article was clearly written anonymously to damage their reputation so not much reason to give it a lot of attention. Everyone can write anonymous stuff on the internet, if someone came out publicly and provided more documents/proof or wrote an official complaint to a financial authority I’d care more.

  4. Hi Kristi,

    Looking at your account, i realise that you have 264 loans, which means an average of 15,38€ per loan. What are the loan terms you choose? 30 day, 6 months +? 13,1% net annual return is really good! Mine is at 11,75%.

    Keep up with your posts!

    1. About 80% of my loans are mogo car loans, which are at 13% interest currently. They are mostly very long term, but since they are also rather easy to sell on the secondary market I’m not too worried about the loan length.

  5. I remember Mintos net income as negative for year 2015. But perhaps I remember wrong. This doesn’t concern You Kristi? Perhaps for last year things have changed for better though.

    1. Mintos also ran a loss in 2016. It’s a growing start-up with expenses for expansion and IT; running a loss is nothing remarkable, even in the hundreds of thousands, it’s the cost of growth. No one is expecting Mintos itself to be profitable for a while yet, that would mean they’d have to stop growing.

      1. Well maybe, but last year’s net loss was 180k Eur and lets just say the best they can do is have no loss from the expense side some time in the future, they earned loan interest of 6,8k Eur only that can act as counter to negative expenses. No small feat getting even I presume.

  6. Hi Kristi,
    I had invested in the mogo car loans as well and just spot that there no way to pick up only new loans, auto investment tools not allow to separate new loans from the already established. Do you have any strategy to deal with this situation?

    1. Why do you feel the need to separate between new loans and established loans? We don’t have access to the mogo data set for any meaningful backtesting anyways. If you feel established loans have a better payment discipline, then there is always an endless supply of 13% bbg mogo loans available on the secondary market.

  7. In case when there are possibility control what loan you are buying it is possible rid off the loans which you considering not worth bother to. And now it is not achievable because even if you selling loans there good chance that autobidder pick up the same loans or those who have the same parameters as those which was sold in first place.

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