P2p global investment trust

bigadaj

Have been looking at this recently.

I have some direct p2p lending but this looks like an opportunity to invest in a venture that is diversified.

US bias which might create issues if and when the pound strengthens but providing a high yield currently.

Does anyone currently hold this or have thoughts on the trust?

sorcerer

on paper I always like the idea of the P2P trust, but I am not sure what it is, but I have never quite pulled the trigger on it. I fail to be totally convinced this model is working. The dividend is nice, but not the 20% drop in price. I have always found better trusts with better income streams, but that's just my opinion.

adam_1979

Hi bigadaj

I have held this for a couple of months (waiting for first dividend payment). Price has been very stable thus far. Will use the income to pay my ISA fees at HL. Also currently have invested small amounts in multiple p2p sites so counting this as additional P2P in my portfolio but held in my S&S ISA.
This Investment trust is still running at discount after the lending club "issues" in the states.
Held by Neil Woodford in his equity income fund so hoping he has used his magic touch !

bigadaj

Yes discount is attractive, though valuations of true value can also be open to question where assets aren't liquid or freely traded.

I'm considering holding unwrapped with the new dividend allowance, debt levels seem to have increased according to trustnet with an associated decrease in price over the last few weeks.

I've lent small sums on p2p sites and this seems and opprotunity to profit from the companies without directly holding the debt.

SailorSam

We have a long long thread on here will tell you all you need to know

bigadaj

SailorSam wrote: »

We have a long long thread on here will tell you all you need to know

Where is that then?

Doubt it will tell me all I need to know, if it exists, as that would be straying into advice territory surely?

SailorSam

Look at the bar at the top of the page, it's got
User CP......Community ...New Posts ....Forum search.....
Click forum search, and in the dropdown box type .......
peer to peer p to p........ then press Go
and scroll down, there are numerous threads on the subject with hundreds of posts.

bigadaj

SailorSam wrote: »

Look at the bar at the top of the page, it's got
User CP......Community ...New Posts ....Forum search.....
Click forum search, and in the dropdown box type .......
peer to peer p to p........ then press Go
and scroll down, there are numerous threads on the subject with hundreds of posts.

Yes, as I thought you misunderstand.

I'm talking about an investment trust that primarily invests in p2p firms, so an equity based investment.

You are talking about direct lending on p2p sites, which I currently do, and is probably most similar to medium to high risk bonds.

grey_gym_sock

well, it's like buying a share in any other trading company. do you generally invest by picking your own shares, or via collective investments (whether those are tracker funds, or actively-managed funds, or investment trusts, or whatever)? most people should be sticking to collective investments.

just because you use p2p platforms (as a lender) doesn't mean you should also buy shares in the platforms. you probably use supermarkets, too, but that doesn't mean you should own shares in them.

bigadaj

grey_gym_sock wrote: »

well, it's like buying a share in any other trading company. do you generally invest by picking your own shares, or via collective investments (whether those are tracker funds, or actively-managed funds, or investment trusts, or whatever)? most people should be sticking to collective investments.

just because you use p2p platforms (as a lender) doesn't mean you should also buy shares in the platforms. you probably use supermarkets, too, but that doesn't mean you should own shares in them.

Yes and no.

I'm primarily in oeics with a few investment trusts and with a small number of shares.

The analogy I'd use rather than the supermarket is that of the gold rush and the people supplying the shovels and supplies making money, with the prospectors often making nothing.

It's the only collective investment that enables exposure to this specific asset class and so is worthy of consideration.

Potentially useful diversification given high equity and property valuations, low bond yields, near zero cash returns etc etc

adam_1979

I agree bigadaj, from what i have read it claims to be diversified and the investment trust manager's pick and choose the loans they want to lend to

I believe however it fell short of its first year dividend target. Not sure weather that was related to the seemingly widespread tumbling p2p rates and if this trend will continue.

In reality i went for it because it was at a discount, high yield, diversified and has a highly rated fund manager holding it. Also I am fed up waiting for IFISA to be made available.
I do wish it was a little more transparent in which platforms it holds loans in and the percentage of p2p company shares it holds vs actual loans