Top 3 auto-invest strategies for p2p investing

Tutorials

When you start investing in iuvo for the first time, we recommend starting with automatic investing. It is suitable for investors with little experience or those who do not have the time to select any credit they want to buy manually. The various filter combinations offered by iuvo allow you to build a portfolio that is specifically tailored to your profile and fit within your investment style. The iuvo auto investment option can be reached by logging in with your platform profile and navigating to Invest -> Automatic Investing.
Conservative Investor

If you qualify as a conservative investor – stability and security are essential to you. You are investing not so much for high returns as for protection against inflation and sustainable, slow growth of your funds.

The appropriate filters for you to create your portfolio are those that will allow you to feel comfortable and quiet without taking any serious risks.

The next step is to create your portfolio by clicking the “Create new portfolio” button and give it a name. Select the currency you want to invest in and the portfolio size – the maximum amount you want to invest using this automatic portfolio.

You can narrow your criteria even more by choosing the number of remaining payouts. The small number of remaining contributions means that the bulk of the loan is already paid and suggests a fair payout, making it a more secure investment.

In the box “Remaining balance” you can choose how many free (unpaid) funds you want the credits you invest in to have. The smaller the remaining balance, the more it is bought from the loan from other investors. Keep in mind that if you filter too many criteria, it is possible to significantly reduce the number of credits that match them and your portfolio to become too low.

Choose credits with a buy-back guarantee, which will provide you with a refund of your invested amount in case the loan falls into default for more than 60 days and Current loan status so that you can only invest in credits that are paid on a regular basis. The portfolio thus created ensures stable yield at the minimum possible risk.
Aggressive Investor

Aggressive investors have a high-risk tolerance and are looking for a higher and shorter-than-conservative return on return. In an example of an auto-investing portfolio for a similar type of investors, returns would have much more weight than the other factors.

Aggressive investors can afford a higher investment for each position and a higher value for the portfolio, for example, $ 20 per position and $ 2,000 total portfolio size.

Credit ratings that would be suitable for aggressive investors are D, E, and HR. Their yield is typically about 14%, but the probability of deflating is logically higher than that of other ratings. Diversification is especially important to ensure that the risk is best distributed.

Being an aggressive investor, you can take advantage of the higher yields that the deferred credits offer, by selecting and investing in. The short installment period allows for more dynamic cash flow, quick returns, quick reinvestment of new funds and, ultimately, a higher yield.

For now, all iuvo credits have a buy-back guarantee. In the future, however, we also envisage those who will not have a guarantee but will be able to offer higher returns. Buying such credits would be right for you if you are an aggressive investor.

Aggressive investment, of course, does not mean irresponsible investment. Even if you have a high tolerance for the risk you are taking, you should still follow the good practices in creating a portfolio so that you can make the most of the opportunities iuvo offers.
Balanced investor

As the name suggests, this type of investor is a combination of the two above. They are aware of the risks that exist, but they are exploring well the opportunities and take a position that is not ending either in the desire for high returns or in taking risks. For such a type of investor, a suitable portfolio would be one that includes a variety of positions and does not bump into extremes.

Credit ratings B and C are the right choices when a balance is what’s important to you. They offer returns of about 8% with a probability of deflation between 2 and 18%.

We recommend that the investment in one position be the minimum – 10 leva, but the overall size of the portfolio may be larger than that of the conservative investors. Balanced investors can combine credits with and without a buy-back guarantee by controlling credit risk without a buy-back guarantee through credit rating and yield. Balanced investors can afford to add to regularly paid loans and loans with little delay.

While iuvo is currently offering consumer credit only, when new originators join the platform, credit types will increase. Then, for more balanced investors, additional opportunities could be opened, such as investing in business loans with a more extended repayment period and stable returns.

A suitable scenario for balanced investors involves creating more than one outsourced portfolio with different levels of profitability, analyzing and tracking the performance of each option will displace too conservative or too risky portfolios to leave the most balanced ones.

No matter what type of investor you are, iuvo offers a variety of options to suit your needs. The platform provides a real alternative for your funds, which can bring you an average annual yield of up to 12%.

Sign up and let the smart money start working for you today!

* These three scenarios are exemplary and subjective and aim to illustrate possible approaches to creating an auto investment portfolio in iuvo, depending on the investor’s attitude

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