In this post we’re providing an overview of which methods of investing are most popular with our users. In previous posts from 2016, the three categories discussed were Portfolio Manager, Manual Investing and API. After October of 2016, however, we discontinued the manual investing feature. We have since added the Portfolio Pro feature which is a new tool, introduced in July of 2017. It allows investors to construct a portfolio according to their own guidelines. As we’ve discussed in earlier posts, users can create parameters to control the duration of the loans in which they invest as well as risk levels and countries. These are funding statistics:
The development of Portfolio Pro, a free tool, came in response to requests from our investors. Portfolio Pro is a perfect solution for those that want greater control over the loans that populate their portfolio. The breakdown of investments and funding statistics illustrates just how much our users have embraced the tool.
In September, the Portfolio Pro represented more than a third of all investments at 35.84%. As usual, the popular Portfolio Manager tool represented the largest portion of inflows at 63.45%. Bondora’s API interface, which allows users to rely on more granular analytics, represented just 0.71% of investments for the month. This figure is a drop from previous months. In December of 2016, for example, the API tool represented 5.64% of investments. Part of the reason for declining interest in the API function is due to our development of the Portfolio Pro tool which allows investors to accomplish the same goals but with a simpler interface.
While the Portfolio Manager is popular with most investors due to its automation, it’s important to remember that even a conservative investor may find loans with riskier ratings in their portfolio. This occurs when such an investor chooses a higher targeted rate of return. Often, the Portfolio Manager, will automatically include loans with “D” through “HR” ratings in an effort to reach for higher returns despite increased risk.
Those interested in the Portfolio Pro tool can visit our support page which lists the different criteria investors can use in setting guidelines for their investments.