Robo.cash investors go for diversification and long-term loans
Robo.cash lenders focus on diversification and prefer long term loans over short term investments.
Analysts at the European peer-to-peer lending platform said the majority (32%) of investors choose to diversify their portfolios by investing in a wide range of loans.
The volume of investment in long-term loans (six months to two years) on the platform is 21% higher than that of short-term loans (seven to 60 days).
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Just over a third (34%) of clients include long-term loans in their portfolio, while the share of investors who see short-term loans as a strategy in their own right is slowly declining and currently stands at 14%.
Lenders who already invest in loans of six months or more usually choose loans with a longer term of two years. However, only one percent of investors choose loans with terms of one to two years as their investment strategy.
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“Such changes indicate a trend to invest in a wide range of loans,” analysts at Robo.cash said.
“The majority of investors (32%) choose the maximum diversification strategy and include all types of loans available on the platform in their portfolios.
“Therefore, it is too early to talk about the decline in the share of those who prefer short-term loans only.
“Long-term loans are viewed by skilled investors primarily as a tool for expanding the portfolio.
“In a way, it’s also an indicator of growing confidence in the platform. Along with the growing popularity of the reinvestment strategy, it shows the consolidation of the P2P market in general, despite the difficult economic situation of the last year.