Author Topic: Understanding Your Returns Page  (Read 12397 times)

Zach

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Understanding Your Returns Page
« on: December 05, 2013, 08:56:25 PM »
Lending Club's new "Understanding Your Returns" page is somewhat of an interesting direction for them to take, but the comparison information is really intriguing to me.

I was just curious how everyone looks on their performance chart plot....

Here's mine (for my primary/largest account):



brycemason

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Re: Understanding Your Returns Page
« Reply #1 on: December 05, 2013, 09:39:10 PM »
Nice. I posted mine in my portfolio returns page on the P2P-P forum area, but here it is again. Definitely love this chart. Sure aren't many red dots on your page!

  • 36 month loans only
  • No trading of notes
  • Strategy selects approximately 10% of all available 36 month loans (large availability)

[attachment deleted by admin]
« Last Edit: December 06, 2013, 01:31:24 PM by brycemason »

Fred

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Re: Understanding Your Returns Page
« Reply #2 on: December 05, 2013, 10:11:43 PM »
Please make sure we are aware of the following disclaimer on the top of page (https://www.lendingclub.com/account/lenderBenchmarkReturns.action) :

Quote
Note: You have purchased or sold Notes on the Note Trading Platform, therefore NAR and Adjusted NAR will not reflect all of the factors influencing your returns. You may want to use a formula other than NAR to evaluate the performance of your investment.

The disclaimer might not appear if you have not purchased/sold Notes from FOLIOfn.

Lovinglifestyle

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Re: Understanding Your Returns Page
« Reply #3 on: December 05, 2013, 11:00:30 PM »
Thanks for sharing!
I tried to post mine, but I couldn't figure out how.
Sorry.

Zach

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Re: Understanding Your Returns Page
« Reply #4 on: December 06, 2013, 12:49:39 AM »
Thanks for sharing!
I tried to post mine, but I couldn't figure out how.
Sorry.

You can use a free image hosting service, such as postimage.org, upload a screenshot from your computer, get the direct link to the picture, and then click the "insert image" icon in your forum post and insert the direct link between the two brackets.

Hope that helps!

storm

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Re: Understanding Your Returns Page
« Reply #5 on: December 06, 2013, 03:52:17 AM »
My mature portfolio...

[attachment deleted by admin]

Inflationhawk

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Re: Understanding Your Returns Page
« Reply #6 on: December 06, 2013, 07:33:14 AM »
Wow, well done Storm!  Do you use Folio or hold your notes to maturity?  If you use Folio, mind sharing your basic strategy?

New Jersey Guy

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Re: Understanding Your Returns Page
« Reply #7 on: December 06, 2013, 07:43:18 AM »
"Please make sure we are aware of the following disclaimer on the top of page (https://www.lendingclub.com/account/lenderBenchmarkReturns.action) :"

I got this graph and could not figure out what the hell it meant!  Now I just realized my graph doesn't have the little, light blue dot.  I'm figuring it's because I trade on Folio.

Fred.....does yours have the little, light blue dot?

It's not fair.  I want a little, light blue dot, too   :'(
Return over deposits:   66.82%
IRR:   86.54%
As of April 30, 2014

core

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Re: Understanding Your Returns Page
« Reply #8 on: December 06, 2013, 08:21:26 AM »
NJG-  If I had to guess I'd say it's not because you trade on Folio, but because you have purchased 100% of your notes on Folio.  Well that still doesn't make sense though, because Folio users still get a NAR and everything for those notes that they are holding.  Heck if I know.

I'm just eagerly awaiting this new version that Peter says is on the way which takes into account Folio users too.  They are probably having troubles trying to get the graph high enough to accommodate our returns!  :p  The graph is going to look like an flat outline of the earth's crust with a few satellites orbiting out there in the heavens.

New Jersey Guy

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Re: Understanding Your Returns Page
« Reply #9 on: December 06, 2013, 08:38:41 AM »
"They are probably having troubles trying to get the graph high enough to accommodate our returns!"

That would greatly help.  The good news is, My NAR on LC has now dropped to -35%.  Getting there!  I figure 5 more months, and I'll be back at zero!
Return over deposits:   66.82%
IRR:   86.54%
As of April 30, 2014

rawraw

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Re: Understanding Your Returns Page
« Reply #10 on: December 06, 2013, 09:11:24 AM »
"They are probably having troubles trying to get the graph high enough to accommodate our returns!"

That would greatly help.  The good news is, My NAR on LC has now dropped to -35%.  Getting there!  I figure 5 more months, and I'll be back at zero!
What is your adjusted NAR?

Fred

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Re: Understanding Your Returns Page
« Reply #11 on: December 06, 2013, 10:22:55 AM »
Fred.....does yours have the little, light blue dot?

Yes, I got my little blue dot.

However, as expected, it seems to be slightly off -- in both horizontal (age) and vertical (returns) axes.

I sell about 10% of my notes on FOLIOfn.

brycemason

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Re: Understanding Your Returns Page
« Reply #12 on: December 06, 2013, 10:45:20 AM »
Users taking advantage of the pre-IGP Folio sales would have a large upwards force in their blue dot. Is that advantage gone these days?

core

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Re: Understanding Your Returns Page
« Reply #13 on: December 06, 2013, 10:52:56 AM »
I don't have a little blue dot either.  And unlike NJG, my NAR isn't negative.  The force must not be strong enough with me.

You can hit the URL directly and grab the data for offline crunching, like so:
https://www.lendingclub.com/account/benchmarkScatterChart.action?adjOnOff=ON&myWeightedAvgIntRate=0.150&similarPercent=1&minNotes=100&portfolioConcentration=2.5

One of the fields appears to show how many notes everybody's got, which I find particularly interesting. 

Fred

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Re: Understanding Your Returns Page
« Reply #14 on: December 06, 2013, 10:59:50 AM »
That would greatly help.  The good news is, My NAR on LC has now dropped to -35%.  Getting there!  I figure 5 more months, and I'll be back at zero!

LC's NAR is calculated this way:



On possible case for negative NAR is if LC treats your Interesti as zero during the months prior to your note purchase, ceteris paribus.

I have not done analysis on this, but at a high-level I think LC should not start the summation from i=1 for notes acquired from FOLIOfn.