Author Topic: First $50 note  (Read 13152 times)

lc12

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First $50 note
« on: July 09, 2013, 11:46:43 AM »
After funding 455 $25 notes.. I decided to fund https://www.lendingclub.com/browse/loanDetail.action?loan_id=4795594 a $50 one.  Just thought I'd share.  When did any of you break away from $25 notes?

Mike

Rob L

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Re: First $50 note
« Reply #1 on: July 09, 2013, 12:19:01 PM »
I had a pretty good chunk of funds to invest when I started. Wanted at least 800 notes per the LC stats/hype and could do that at $50 per note, so that's what I did. However one of the six note selection strategies I used recommended enough notes that I could fund them at $25 and still put a lot of money to work. I have quite a few $25 notes now too.  It took about a month finally to go all in.

SarahV

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Re: First $50 note
« Reply #2 on: July 09, 2013, 12:44:25 PM »
I bought some larger notes at first ($50, $75 and a couple of $100s) to help get my initial chunk of money invested more quickly. (I'm in a Folio-only state and I was investing before any of the third-party sites did Folio, so it was slow going.) After the initial investment was done, I gradually sold off all the notes over $50 (at a profit, for the most part) and reinvested the money in $25 notes. I kept some of the $50 notes and still have about a dozen of them. Now I only buy $25 notes because the IR filters make it so much easier to find notes I like. So I guess my average note size has been decreasing from day 1.

Lovinglifestyle

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Re: First $50 note
« Reply #3 on: July 09, 2013, 02:15:03 PM »
I started at $50 for a year and then went down to $25. Those are gone now.  However, I accidentally have four $50 notes because I clicked "invest" in two places and didn't look at the amount box before hitting "submit"!  I put them in the SELL folder for watching. 

Dennis

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Re: First $50 note
« Reply #4 on: July 09, 2013, 03:11:06 PM »
1,700+ notes between 3 accounts and all but about 15 are $25 notes (the other 15 are $50 notes).  I'm still adding and growing, just sent in another chunk of $$ and will no doubt continue with the $25 notes.  I tried to convert to the $50 notes but wasn't comfortable with it.  As long as I can find enough notes I'll continue with the $25.   

Dennis

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Re: First $50 note
« Reply #5 on: July 09, 2013, 03:21:20 PM »
After funding 455 $25 notes.. I decided to fund https://www.lendingclub.com/browse/loanDetail.action?loan_id=4795594 a $50 one.  Just thought I'd share.  When did any of you break away from $25 notes?

Mike

That's a great D5.  Wish I had found that one. 

p2p2p2p2p

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Re: First $50 note
« Reply #6 on: July 09, 2013, 03:33:15 PM »
Nice note. i lately only do $50 notes because I cant get fully invested otherwise. There is really no difference as long as you diversify across the board. Its all relative just like the cost of apartments in manhattan

SeattleSun

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Re: First $50 note
« Reply #7 on: July 09, 2013, 07:37:19 PM »
BET SIZE
Your "bet size" is an issue that needs to be decided up front and held constant for a given strategy IMO.  And I didn't do it despite my back ground in gaming.  Anyone using the "Kelly Critrion" to size bets?   http://en.wikipedia.org/wiki/Kelly_criterion

I started with $100 loan size due to the size of my bankroll but now wish I had done $200 as I approach 600 loans and am only halfway thru my bankroll.

One of the smart guys here, like Peter needs a white paper post on this subject for any Newbie to read.

RATE OF INVESTMENT
Also I have seen some investors rush in and invest all their money in 30 days.  I have been "metering in" over the last year with the intent to have the interest and principal paid back to be big enough to feed future investments and a steady rate of reinvesting.

Smart Guys:  Does any of that make sense or am I way off.  TIA
« Last Edit: July 09, 2013, 07:42:55 PM by SeattleSun »

Rob L

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Re: First $50 note
« Reply #8 on: July 09, 2013, 08:18:56 PM »
My bet size is more like a card counter in blackjack than Kelly. The selection criteria I use (P2P-Picks) provides bets with different predicted probabilities of success. So, like a deck that is rich in 10's, I've bought larger notes when the selection criteria suggested more a more favourable outcome. My fear is that the variance in bet size ($25 increments) may have been larger than warranted by the predicted advantage. At this point I'm fully funded for a while and am re-investing principal & interest at a more modest pace than when I started. I'm trying to find the bet level that will maximize the number of the best bets possible and remain fully funded. Today was a lousy day for that!  I do expect to be able to be able to reduce my bet size, increase the total number of high quality bets and remain fully invested, but it is a work in progress.

SeattleSun

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Re: First $50 note
« Reply #9 on: July 09, 2013, 08:34:08 PM »
Rob L

I was referring to your post in P2P-Picks beta test when I said I saw someone invest his whole bankroll in 30 days.

When counting cards I might start with 1X and move to 2X at a true count of 1 and then 3X at a true count of 2, etc.  Increasing my bet size based on the preceived advantage I had.  A spread of 8 to 1 would probably result in a positive EV game based on the typical casino rules for BJ. 

I am very interested in the P2P-Picks as I am very used to using "handicappers" in the sports area.  Unfortunately, although I am posting in the LC area, I only currently have a Prosper account now. 

Like you I am doing "manual picks" based on screening criteria I established after talking to many industry experts.  I did not due a serious quanitive analysis.  Thus I am attraced to what P2P-Picks has done.  Again using the sports arena I am placing bets based on "situational analysis" vs a quant model.  I am pretty sure P2P-Picks could increase my rate of return with the same or less risk.  Do you have any idea if/when the service would be avaiable for Prosper users?   I aske in the P2P-Picks area but no response yet.  TIA

WHERE TO POST
This forum has many "rooms" to enter and I am having a difficult time deciding where it is best to hang out.   So far there seems to be more activity in the LC area vs the P area.  Any advise?  as you seem to have been here longer.  TIA
« Last Edit: July 09, 2013, 10:24:34 PM by SeattleSun »

rawraw

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Re: First $50 note
« Reply #10 on: July 09, 2013, 09:43:55 PM »
I think the LC forum is more active because we are obviously more social group.  Prosper kids sit in the corner and have no friends :P

brycemason

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Re: First $50 note
« Reply #11 on: July 09, 2013, 11:17:15 PM »
I don't think it makes any sense to invest slowly, as long as there is sufficient loan availability of high enough quality for your strategy. I tested for temporal trends in returns and didn't see anything, so basically you're going to be affected by the mean level performance of the economy and what not, and there's little point in guessing whether it's going to be better or worse down the road. Besides, 40% of your portfolio turns over in a year anyway and you're reinvesting in different vintages all the time. Your average note age is going to become uniform and less lumpy quite quickly.


Rob L

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Re: First $50 note
« Reply #12 on: July 10, 2013, 12:42:20 AM »
Hi SeattleSun,

For P2P-Picks specific questions posting in the P2P Statistics area as you did earlier is probably the best place. However, there's a link at the top left of the forum "Show unread posts since last visit" and I suspect the most interested and active members at least glance through them all. Even rawraw probably reads them all, comments to the contrary. Your posts will probably be read anywhere you put them. If they are too far off topic Peter or Zack will move the thread to the appropriate area.

I see that Bryce has answered your questions while I was typing this. I was gonna say I dunnow , but hopefully soon.

I don't often get the opportunity to use the word oxymoron twice in one day, but "SeattleSun??". Gotta be a story there.

Cheers,
Rob

Zach

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Re: First $50 note
« Reply #13 on: July 10, 2013, 02:33:14 AM »
If they are too far off topic Peter or Zack will move the thread to the appropriate area.

While this is definitely true, I just have to interject and say that its Zach - with an 'h'.

Sorry, just a little pet peeve of mine.

Thanks  :D

Rob L

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Re: First $50 note
« Reply #14 on: July 10, 2013, 02:36:56 AM »
Sorry, I took a 50/50 shot and blew it. Too lazy to go find the correct spelling. Now if you hadn't changed your handle I would have really messed it up! :)