P2p Global Investments Share Discussion Threads

[lurker] 29/8/2017 09:30

I have not sold...actually was thinking of buying more

[aroon001] 28/8/2017 22:56

This post makes no sense to me.

Buy backs weren't supporting the price recently. Was the news of lower fees and change of investment manager.

When you say everyone sold out around 900p who are you talking about? There's no news of mass selling of the stock that I've missed? And why would 'everyone' logically sell out in absence of new negative information anyhow.

The recent share price drop last week or two is probably due to Friend Providrnt news nothing to do with buy backs.

[argoal] 28/8/2017 15:08

Well, it looks like everyone, including me, sold out here while they had the chance at around 900p when the buy backs were buoying up the price.

The price has now drifted back to below 850 as the buy backs start losing their influence and the monthly Nav increase remains anaemic.

At what price do these become interesting again? I'm thinking at around 825 in the absence of any further news. Below 800 might prompt something decisive like a wind down and return of value to investors.

On the other hand, an improvement in returns would probably see the drift downwards reversed.

[aroon001] 26/5/2017 19:07

in the comments section of that link:


"...5% of any increase in net asset value over 5% from next year. There is currently no hurdle on the performance fee...

That is quite a rake-off, at a time when conventional investment trusts (including Mark Barnett's Perpetual I&G) are abandoning or curbing performance fees. The formula is closer to the hedge fund's exorbitant 'two and twenty'.

If Scottish Mortgage can run an activist, research-heavy international fund on an OCR of under 0.4%, why cannot a debt investor?"

[davebowler] 26/5/2017 10:26

HTtp://citywire.co.uk/investment-trust-insider/news/mark-barnett-holds-key-as-p2p-manager-merger-could-pave-way-for-honeycomb-deal/a1019590?ea=252901&re=46890&utm_source=BulkEmail_Investment+Trust+Insider+Weekly&utm_medium=BulkEmail_Investment+Trust+Insider+Weekly&;utm_campaign=BulkEmail_Investment+Trust+Insider+Weekly

[argoal] 25/5/2017 06:20

Right you are. It was Anley who sold out.

Decent news all round though. It looks like there is a more considered approach to which markets to enter and focus on than previously which also has to be a good thing in the long run.

I look forward to a reduction in discount and a gradual increase in distributions.

[aroon001] 24/5/2017 18:40

Good news, I guess the share price has reflected this already. 15% performance is still on the high side for a fixed income fund but much better now it has a hurdle (though 5% hurdle when the target is 7.5% is a bit harsh). Our interests are aligned.

Shame nothing more concrete on managing the discount to NAV. I'm not sure why a quarterly buyback at say 10% discount, of a minimum amount of shares wasn't announced. Would have immediately raised the share price with minimal cost. Though if dividends move up to 60p per year, I imagine the share price will rise anyway.

I think it was Anley that sold up, I never exited, for me I'm holding these shares long term for income in the kids names. The discount to NAV, whilst annoying since I bought at IPO, is not so important for me currently, though it would be if it stayed like this permanently.

[argoal] 24/5/2017 07:58

From today's announcements:

'As set forth in the Board's announcement, the two firms have agreed in principle to merge their operations in a share for share exchange, with Pollen Street becoming the majority shareholder of the combined investment management group'

'Fees are to be revised to reflect a more performance based structure, comprising a management fee of 1 per cent of net assets, and a performance fee of 15 per cent of any increase in net asset value (taking account of distributions and certain other adjustments) subject to a hurdle of 5 per cent with full catch up (intended to commence 1 January 2018).'

AROON001, it looks like we have got 2 out of 3 of your requests.

I think that you were unfortunate with your exit timing but are you thinking of jumping back on board?

[aroon001] 28/4/2017 18:47

Perhaps. If the investment manager just sits there whilst the share price falls 30% and it takes major shareholders to make them think twice about their strategy, it would be far more preferable to replace the investment manager.

Focusing more on the UK at a time when UK economy is slowing doesn't seem aparticularly astute call. Other things like focusing on more secure debt - why haven't they been doing that before if it was such a good idea and it reads like complete nonsense that secured credit would have higher yields than unsecured.

id prefer:
1) change of manager
2) adjustment of fees to include a hurdle rate
3) quarterly buy back of shares at 5% below NAV to anyone who wants to exit.

[argoal] 28/4/2017 07:39

Interesting article on P2P global.

Seems reasonably optimistic in tone.

hxxp://www.altfi.com/article/2886_p2p_global_investments_sees_nav_bounce_expands_into_alternative_credit

[the monkster] 05/4/2017 21:23

aye, on us.

[davebowler] 04/4/2017 14:57

hTTps://www.ftadviser.com/investment-trusts/2017/04/04/woodford-backed-p2p-fund-undergoes-review/?utm_campaign=FTAdviser+news&utm_source=emailCampaign&utm_medium=email&utm_content=

[davebowler] 04/4/2017 08:26

Liberum;
P2P Global Investments (Mkt Cap £646m)
Review of investment management arrangements

Event
The board of P2P Global Investments has announced a review of the company's investment management arrangements following discussions with significant shareholders and the investment manager. Further updates will be provided in due course.

Liberum view
The announcement is light on detail and will inevitably lead to speculation. The manager had previously cut management fees as returns have been below expectations and had stated that it was considering additional steps to improve results. Today's announcement suggests that the board is reviewing the position of the investment manager. The shares currently trade on a 22.7% discount to NAV.

Emerging markets

[davebowler] 27/3/2017 09:43

Liberum;
Event
P2PGI's NAV at 28 February was 1001.6p which represents a NAV return of 0.38% in the month.

Total exposure to US consumer has reduced to 46% of NAV compared to 55% at the end of December. This reduction is set to continue with the manager seeking to increase gross exposure to European assets over 2017. Collateral performance and the cost of funding are more favourable in Europe than the US.

As previously announced, the manager is reviewing its performance and is considering additional steps to improve results. The outcome of that review will be announced in due course.

Liberum view
February's return of 0.38% includes an uplift from share buybacks which we estimate added 0.09% during the month. Share buybacks have added a further 0.10% in March to date. We estimate the underlying income return was broadly in line with January which represents an increase on Q4 2016 and we believe this is due to a reduction in the implied impairment rate and the lower management fee. We calculate the implied annualised impairment rate in the month was c.4.5% compared to c.5.0% during Q4 2016. The share trade on a 20.4% discount to NAV.

[anley] 22/3/2017 09:59

I have checked with my HK desk and NY desk and this is part of what came back...

"The management team is weak, based in London where most of the assets are sourced in the US".

That is only one reason why I am now clearing out of this business especially as Lending Club is still involved.

Thanks to those for posting and good luck Mr Woodford who now must try and sort this terrible fund and its team........

[aroon001] 21/3/2017 15:58

How does one get a job at Marshall wace? If I'd underperformed for 3 years I'd get fired. These guys get a performance fee.

[rl34870] 21/3/2017 12:00

Price of 775p today and falling. Without the share buyback (using borrowed money) where would it be? Probably in the 600's. Listen to what the market is telling you Marshall Wace.Get rid of that performance Fee or at least set up an appropriate hurdle rate.

[anley] 17/3/2017 12:40

I still say both.............loose holders and higher defaults on the US portfolio.

[aroon001] 16/3/2017 18:26

I dont think the mkt makers are forcing anyone out. The returns just haven't been that good to justify a higher share price. If investors expect say a 6% yield then 800p seems fair.

Why the returns have been low is another issue. Seems like it's default rates have been somewhat higher. Plus the costs (including the ridiculous performance fee) are eating away at the returns.

[anley] 16/3/2017 10:29

Who is frightning who............the MM forcing out weak holders so the stock can be passed onto Marshall Wace and the management?

Or

Something fundementally wrong with the loans...................?

[anley] 13/3/2017 17:05

I really do agree and once the business gets back on a sounder footing then they can have a bonus.............SO MR CHAMP will you agree as I am sure you or your office reads these posts.

[rl34870] 13/3/2017 15:39

If the greedy performance Fee of 15% becomes the next charge reduction then the fund becomes investable again. The disastrous decision to hedge is costing us around 0.6% per annum (per Liberium) and a performance Fee given this situation just makes the whole thing ridiculous. We can all accept higher than forecast impairments as that is the risk we are prepared to take but the focus now must be on a lower cost structure.
6

[anley] 03/3/2017 18:33

If they don't then we should use this site to make sure the management listens to us...........I have a contact I can approach inside the business.........