Portfolio Update: July 2020

July is usually a holiday month in most countries. This is no different in Denmark.

I have been hanging out with friends and family, generally just enjoying life. Which has been very nice. Throughout the month I visited some family on holiday, went go-karting, bowling, golfing, and getting a few beers.

However, the holiday month is usually also expensive. While I had a relative inexpensive holiday last year, this year has been a bit more expensive.

However, the real costs weren’t the holiday itself, it was yearly payments and unexpected expenses.

Let’s get to the numbers of July!

General Comments to Portfolio and Income

July has been a good month. No losses of any kind. Although the stock market has been quite volatile and decreased my stock portfolio value I got the largest dividend payment this month.

The fear on Mintos is starting to disappear, which can be seen in my returns. As I told in a previous portfolio update post, I made an auto-invest to scrap up good loans that were sold at a discount. This has meant that I have been earning around €6 in the last couple of months. However, since there is no good loans to get on the secondary market anymore, I have gotten regular loans, which have decreased my income to around €3 this month.

However, Estateguru has gone strong yet another month. I currently only have 1 delayed loan out of 11 loans. In contrast, I have about 50% of delayed loans on Mintos. Nonetheless, both platforms are taking somewhat professional procedures to handle the delays (Estateguru is by far the best).

PlatformPassive incomePlatform valueYield/Interest rate
Mintos3,085746,5%
EstateGuru3,45168,0%
Celsius Network11,303.2286,2%
Stocks4,922.0753,4%
Index funds3,4721431,2%
Total26,28.5375,0%
Portfolio income July 2020

Celsius Network has also provided a solid income this month, although lower than the last months. Celsius Network has lowered some of the interest on the cryptos which I’m holding (which are changing weekly, so totally normal), which explains the lower income.

The stock market has been very volatile in July. This can partly be put to blame on the global pandemic and the beef between the USA and China. However, since my stocks and index funds are somewhat conservative, it hasn’t impacted my portfolio much.

Portfolio – July 2020

Total Portfolio Value:

  • Portfolio value: €8.538 (+5,6%)
  • Net worth: €13.653 (-2,4%)
  • Investment income: €26,2 (-19,2%)
  • Average interest rate: 5,3%

*(%) in relation to last month

I’m continuing to grow, slow but steady. The gap between my portfolio value and the invested is slowly closing. If the P2P lending scams haven’t happened, my entire portfolio has been close to the breakeven point. However, now I have to recover the P2P lending losses as well. Nonetheless, I’m always up for a challenge.

My tactics for growing my portfolio hasn’t changed. I will continue to deposit my monthly contribution to index funds, invest spare cash in stocks, and let the P2P lending platforms work for themselves. If my crypto portfolio explodes, I will probably have a big selloff and move the profits to dividend stocks.

Portfolio value and income - July 2020
Portfolio value and income – July 2020

The intention of my portfolio is obviously to make it grow. However, due to the recent two P2P lending scams, I’m seeking other opportunities to create cash-flow (where P2P lending got replaced by dividend stocks).

In the future, I would like to invest in real estate. However, my financials are not stable and big enough to invest in real estate.

Saving rate and Emergency Fund

My saving rate is severely suffering since Marts where I got my last paycheck from my student position. Fortunately, I have saved a good portion of the money to sustain my investment strategy.

This month has had a couple of financial disasters. First of all, my keyboard has been acting weird for some time. It types some letters double, and some letters it wouldn’t type. Then, the cat tipped over a glass of water down the keyboard (must have been a sign). So I was forced to replace my keyboard.

A lot of my family has birthday during the summer months. Therefore, I have had some larger than normal expenses towards gifts.

Lastly, the yearly payment for keeping my hunting license active had to be paid.

Saving rate - July 2020
Saving rate – July 2020

Another big expense has been the go-karting, golfing, bowling, beers, etc. however, this is something that I actively choose to pay for.

P2P Lending

  • Started investing: Sep-18
  • Average interest rate: 10,8%
  • Portfolio value: €1.090,33 (+0,59%)
  • Income this month: €6,48 (-30%)

*(%) in relation to last month

The gap has been widend a lot since January. But now the P2P lending industry has stabilized in Europe so i will just let my current investment sit and compound.

Although I don’t have a lot of money in P2P lending, the big advantage is that the interest rate is high, so the compounding is happening very fast compared to when investing in dividend stocks. Hopefully, the new EU regulation of P2P lending platforms can get some better practices into the industry to make it safer.

P2P lending portfolio - July 2020
P2P lending portfolio – July 2020

Mintos is currently doing good. However, I have about 35% of my portfolio in pending payments due to the failing loan originators Capital Service, CreditExpress, Finko, and Alexcredit.

Mintos is dealing semiprofessional with the loan originators’ obligations. However, the recovery is happening very slowly. I fear that my money will be stuck in this new “waiting scheme” of pending payments. Remove that sh*t and make loan originators comply with their obligations. If something like this happens in a regulated business, it’s typically lawsuits or fines.

PlatformPortfolio valueInterest incomeXIRRInvested
Mintos574,193,086,5%445,4828
EstateGuru516,143,47,96%500
Total1090,336,487,2%945,5
Overview of P2P lending investments
Exited PlatformsProfit/lossAverage Interest RateExited Value
Fastinvest4811,7%456
BitOfProperty1811,4%158
LenderMarket4,712,84%105
Swaper11,5211,22%78
Platforms which i have removed from my portfolio
ScamsLoss (With interest)ROIInvested
Grupeer-424,68-100,0%400
Envestio-1313-100,0%1136
Scams I, sadly, was invested in

P2P lending portfolio allocation
P2P lending portfolio allocation

Mintos

  • Started investing: Sep-18
  • Average interest rate: 10,86%
  • Portfolio value: €571,11 (+0,5%)
  • Income this month: €3,08 (-47,3%)

*(%) in relation to last month

My returns on Mintos have been cut in half this month compared to the 2 previous months. There is a very good reason for this behavior = people are not selling their good loans on the secondary market anymore.

I have reactivated my auto-invest strategy again to good some of the good loans when they become available.

When the failing loan originators have been dealt with I’m excited to see how much interest income my portfolio will rack in.

Mintos value and income - July 2020
Mintos value and income – July 2020

You can sign up to Mintos by clicking this link.

EstateGuru

  • Started investing: Jan-20
  • Average interest rate: 7,57%
  • Portfolio value: €516,14 (+0,66%)
  • Income this month: €3,4 (-0,58%)

*(%) in relation to last month

Estateguru is my absolute favorite platform, by far. They are providing some quality lending oppertunities. Most of the loans are over-collaterized, they havent done any “pause in interest” periods such as other platforms, when they have problems with lenders they have a good procedure in place.

In their many years of business, they have never had any defaults. Furthermore, the delayed lenders are charged with additional interest which is also paid to the investors.

Estateguru portfolio - July 2020
Estateguru portfolio – July 2020

When I decide it’s time to invest in P2P lending again, Estateguru will be the first to receive some of my funds.

You can sign up for EstateGuru by clicking this affiliate link. You will get 0,5% additional interest in the first 3 months of investing.

Stock Portfolio

  • Started investing: Mar-20
  • Dividend Yield: 3,53%
  • Portfolio value: €2.075 (+5,3%)
  • Income this month: €4,92 (+34%)

*(%) in relation to last month

The stock portfolio is currently just smooth sailing. There is some ups and downs. However, for the majority of the time, the stock market is moving 1-3% per day, which is nothing when you have tried to be invested in crypto.

Since my portfolio is mostly invested between large corporations paying stable dividends there is not so much volatility as there is with the tech stocks.

Stock portfolio - July 2020
Stock portfolio – July 2020

My diversification will continue to be broad, and I will continue to have large exposure in REITs.

Stock allocation - July 2020
Stock allocation – July 2020

I use Trading212 as my dividend portfolio as they charge zero fees and commissions. However, Trading212 is a smaller platform, so if you feel safer at a bigger platform, I would recommend Degiro, which is one of the biggest and best stock brokers in Europe.

Cryptocurrency Portfolio

  • Started investing: Dec-17
  • Average interest rate: 4,9%
  • Portfolio value: €3.228 (+9,72%)
  • Income this month: €11,3 (-29,5%)

*(%) in relation to last month

Crypto is exploding right now. It’s a bit hard not to get some FOMO (Fear-Of-Missing-Out), but I have learned that crypto will decline massively the moment I invest. Therefore, I stick to my strategy (important to have) and see where my coins are going.

The interest is also varying a bit. However, since the crypto market is so volatile, the team at Celsius Network is adjusting the interest of the coins every week (which they have always done). Therefore, coins with more demand have a higher interest.

Crypto portfolio - July 2020
Crypto portfolio – July 2020

The people I have referred to Celsius Network have earned 212,39 dollars and just keeps climbing (lat month was 170 dollars). You can also invest with Celsius Network both with Android and iPhone. You can sign up here, giving you $20 worth of crypto when depositing $200 worth of crypto and holding it for 30 days.

Earning by refereed people
Earning by refereed people

I would recommend you to purchase crypto through Binance. Binance is one of the largest platforms in the world while also having a lot of Altcoins.

Index Funds

  • Started investing: Jan-19
  • ROI: -1,3%
  • Portfolio value: €2.143 (+2,7%)
  • Dividend this month: €0

*(%) in relation to last month

My index funds are rather boring to look at. I guess it’s good since that means I don’t get weird and crazy ideas. Although, I finally found a water index fund on NordNet which is within the fee-free “monthly saving scheme”.

I have added the water index funds IQQQ, which as replaced the QDVD fund. The reason is that I want index funds that follow the market, and something that follows water.

My prediction is that water will be rarer and rarer. Therefore, I need the fund that follows the S&P500 (IUSA) and the one that follows the water market (IQQQ). I dont keep the QDVD since it has followed the S&P500 poorly.

I know QDVD only follows the dividend companies from the S&P500, but my index funds is to follow attractive markets, not to collect dividends.

Index funds portfolio - July 2020
Index funds portfolio – July 2020

How Others in the Community are doing

I see that there is a lot of bloggers who also struggle with a very fluctuating income. Sadly, COVID-19 has to lead to a lot of dividend cuts, and P2P lending platforms to struggle, which might be the main cause of the fluctuating income. However, I hope we hold strong as a community and push on forward to reach FI or whatever else is the goal!

I hope that everyone get a speedy recovery!

Blog Statistics

The visitor count has stayed more or less the same (-132 visitors). I hope that everyone visited found what they were looking for. If not, please make a comment or email to me stating what you want to hear more (or less) about.

Blog visitors - July 2020
Blog visitors – July 2020

You can start your own blog using the best host, with WordPress pre-installed. Anyone can start a blog using Siteground. Create a blog for €3,95 (regular price €9,95) and start sharing your investments or other hobbies/interests. You can use my affiliate link here.

That was all for this month. I hope you enjoyed the content, see you in the next update!

Disclaimer: This post may contain affiliate links. I may receive a commission when you, the visitor, uses an affiliate link. Investing involves risk of losses.
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ThePoorInvestor
I am ThePoorInvestor and I am on a financial independence journey. I am investing in P2P-lending to create a high cash-flow return. I disclose my income, expenses, investments, and everything financially relevant.

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