Not on that page, but here is the link you're looking for :cool:
https://www.harmoney.co.nz/investors/default-rates
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Not on that page, but here is the link you're looking for :cool:
https://www.harmoney.co.nz/investors/default-rates
Hit the $1,000 mark in interest received today, so to celebrate I thought I'd share my stats :)
Date of first investment = 5 January 2018
Total Loans invested in = 602
Average amount invested = $30.36
Average age of loan in portfolio (current status) = 124.5 days
Average weighted interest = 20.49%
RAR = 13.21%
XIRR = 11.77%
Loan Book:
A: 13 loans
B: 129 loans
C: 205 loans
D: 210 loans
E: 42 loans
F: 3 loans
Thanks to everyone that has contributed to this thread, and shared their thoughts & experiences.
Attachment 9902
Attachment 9901
Well done. You are aiming high like Myles, and that s being reflected in writeoffs, and returns. Congratulations on your first grand :)
Good start alundracloud. I'm surprised your XIRR is below your RAR? Are you using Outstanding Principal + Funds Available as your current value? It could be right - I think my XIRR was always ahead of my RAR during the run-up stage. It could just be the timing of your investments or perhaps the 'fix' Harmoney made to their RAR calculation?
Thanks Myles! I've found your advice scattered throughout this thread really useful, and it probably shows when you look at my portfolio that I've tried to emulate yours somewhat, just on a smaller scale! With a bit of luck I can emulate your returns too :cool:
Below is screenshot of my XIRR worksheet. As you can see I'm using:
(Outstanding Principal + Funds Available) - (Outstanding Principal of any loans >60days in arrears)
Attachment 9904
This is a belated report of a first for me. Having been in the game since March 2015 I have had 262 loans repaid out of 537 subscribed and on 2nd May I had my first clearance of a loan which went full term - of 36 months. A second full term 36 month loan was repaid on 31 August. Perhaps my selection criteria have led towards loans which are easy to top up, but fewer than 1% going to term is, I think, a bit of an indictment of our debt laden society.
There has certainly been a lot of 'churn' in the loans - some of that is likely due to changing rates through?
[QUOTE=alundracloud;728142]Hit the $1,000 mark in interest received today, so to celebrate I thought I'd share my stats :)
Date of first investment = 5 January 2018
Total Loans invested in = 602
Average amount invested = $30.36
Average age of loan in portfolio (current status) = 124.5 days
Average weighted interest = 20.49%
They're great figures Alun - I'm very envious. Despite your loan book being high in Cs and Ds, your arrears and charge-offs are incredibly low. You've obviously got an eye for picking good loans - particularly in the current market that seems very short on them. Roll on the next $1000 :)
Those write off's are very low/good for the risk curve you have. that said at 120 days average age you have a very young portfolio, Most of the write off's dont happen until the loan is 120-180+ days in arrears so normally loans are 150-210+ days old at the youngest - so it will be very interesting to see if you can keep it up once your average age reaches ~200days
Thank you Joker- Really appreciate your kind words, and your contributions to the thread!
As Humvee points out in the post above, it's still a very young portfolio- I only really started investing in earnest in March. I'm realistic about the fact that arrears & write-offs will become more frequent as time goes on. I've definitely found myself passing on more and more loans recently- the quality just doesn't seem to be there at the moment. I'm really going to tighten up my criteria (more high B's & C's and only the "best" D's & E's) from now up until Christmas. This is based on some of the comments earlier in the thread about loans taken out in the lead-up to Xmas experiencing a higher rate of defaults.
One thing I would love to see is for Harmoney to allow the retail lenders to have a nibble at the loans that get diverted to the wholesale market. You could still have the wholesale investors taking 75-80%, but why not let the retail lenders fill the first $5k of a $25k loan before getting 'vacuumed up' by the whales? As it stands, us little-guys don't see four out of every five loans Harmoney processes.
I wish Harmoney would include a columns to show the following in their export All of which are missing currently
Date Charged Off
Date Sold
Date Paid Off
The closest I can do to kind of calculate the average charge off age is the following
=[@[Last Payment Date]]-[@Date] filtered for where the status is Charged off and the last payment date is NOT blank
The average of this is 457 Days - which is ALOT older/higher then I was expecting
You can get the individual charge off dates for each loan in the report section. It is time consuming but I transcribe the charge off dates for all the loans charged off in each month at the end of the month into a spreedsheet. I will work on a graph later and post it here.
This is my chart as promised. I have been in for just over 39 months (so in my 40th month). The chart shows that most of my charge offs are after 8 months (i.e. in its 9th month). So if you are in for only 1 year and assuming you invested gradually, your average age of your loans is only 6 or 7 months. So your charge off will not be that much yet.
Yes, investing in Harmoney does take more time than other investments. But alot of it is to get information that is good to know, not all essential.
I used to update my main spreadsheet every week but now only once a month.
More on my 377 defaults in the chart above, the average is 13.26 months from date of loan and that will grow much more the longer I am in. At the moment, I am in for only 39.1 months and my oldest is 36.8 months.
The median is 11.81 months and I expect this to eventually settle at just about 12 months.
5 charged off out of 262 repaid. Months in for them were 16, 29, 13, 13, 13 - the last one I have been expecting to charge off for 3 months and no payments in that time. Much the same as Cool Bear's portfolio in terms of time in versus losses. I don't worry about losses as it is part of the game, but I do wonder about Harmoney's performance in chasing bad loans - there is no reporting to investors on any audit of their processes and for all we know they could just not bother at all.
Wow I had a loan written off and now I see 100% of it has been recoverd. Great success !
I'll second that. By doing this, they'll achieve the same wholesale:retail outcomes, while upping the loan volume on both markets and minimizing the rising chatter about poor loan quality in both markets. They have been concerned about this chatter, that is why they had taken the decision to invest their own money as a wholesaler. Upping the volume also makes the sub 10% platform returns more digestible because choice was increased