What % of your cash savings do you have in P2P...

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  • lejog2003
    lejog2003 Posts: 202 Forumite
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    In years past around 25%, now a big fat zero.
  • Archi_Bald
    Archi_Bald Posts: 9,681 Forumite
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    nothing any longer
  • N1AK
    N1AK Posts: 2,903 Forumite
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    vmp wrote: »
    ...and are you comfortable with the risk?

    I have around 2% of my money in P2P. I'd dearly love to put more in, however I probably find it too risky to do so - I don't think I'd want to put more than around 10% in there.

    How about you?

    ~25% of our cash is in P2P (primarily FundingCircle) and cash is ~16% of our total portfolio; thus P2P is ~4% of our total assets. If you ignore our home then the % increases notably.
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  • jimjames
    jimjames Posts: 17,624 Forumite
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    colsten wrote: »
    0vvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvv


    Same here.

    95% equities, 5% cash and 0% P2P
    Remember the saying: if it looks too good to be true it almost certainly is.
  • evenasus
    evenasus Posts: 11,861 Forumite
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    ZERO. I'm extremely risk averse.
  • Cat2011
    Cat2011 Posts: 481 Forumite
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    81% Cash
    8% Funding Circle
    1% Zopa
    10% Funds

    Holding a lot in cash at the moment as about to spend lots on some rennovations. But I'd probably increase to 25% Funding circle, 25% equities, 50% cash. I'm quite keen on Funding Circle - I think it's safer than the stock market - assuming you're well diversified - max 5% in any one loan. You get to help UK businesses out and get a good return. Currently getting 7.9%, and will still probably get 5.8% after the expected number of defaults occur. I'm happy with that.
    Debt-free 27th July 2012!
  • N1AK
    N1AK Posts: 2,903 Forumite
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    Cat2011 wrote: »
    But I'd probably increase to 25% Funding circle, 25% equities, 50% cash. I'm quite keen on Funding Circle - I think it's safer than the stock market - assuming you're well diversified - max 5% in any one loan.

    Personally I wouldn't call 5% per loan diversified. One default would wipe out your profit for a year, get unlucky and have 3-4 default and you'll be lucky to get all your money back. Personally I'd suggest following their advice and keeping exposure to all loans below 1% of your total investment.
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  • Cat2011
    Cat2011 Posts: 481 Forumite
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    N1AK wrote: »
    Personally I wouldn't call 5% per loan diversified. One default would wipe out your profit for a year, get unlucky and have 3-4 default and you'll be lucky to get all your money back. Personally I'd suggest following their advice and keeping exposure to all loans below 1% of your total investment.

    In essence I agree with you, hence the max 5%, 1% would be more ideal. I'm working on getting mine down to that, but the one problem with funding circle is the time it takes to get money lent. The businesses can take days to decide and then reject you, which means you have to go find another suitable loan all over again.
    Debt-free 27th July 2012!
  • N1AK
    N1AK Posts: 2,903 Forumite
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    Cat2011 wrote: »
    one problem with funding circle is the time it takes to get money lent. The businesses can take days to decide and then reject you, which means you have to go find another suitable loan all over again.

    No argument there, especially if you're trying to do it while being picky over expected return.
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  • WatsonNimrod
    WatsonNimrod Posts: 1,926 Forumite
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    I had a dabble last year but it's definitely not for me.

    Way too high risk for the reward.

    90% equities 5% bonds and 5% cash
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