The new year starts with an interesting plan of one of our investors. This year, our German investor Andreas Tielmann wants to grow his Esketit-portfolio to €100,000. You can read about his full plan in the original post here. If you’re not well-versed in German, don’t worry, we provide you with a translation below.

Translation of the blog post:

My goal 2022: €100,000 portfolio at Esketit

At the beginning of each year, I set a certain goal for what I want to achieve in P2P investing that year. Last year 2021 it was to achieve a return after all defaults of at least 12%. I was able to achieve this goal and even exceed it significantly.

For the year 2022 I set myself the goal to build a portfolio of €100,000 at the P2P platform Esketit. With an interest rate of 12%, this would mean a monthly income of €1,000.

Translation: Goal 2022: €100,000 portfolio at Esketit

For the following reasons, I would like to significantly increase my portfolio at Esketit (Creamfinance loans):

► Creamfinance profitable every year since 2012 (exception 2020 because of pandemic)

► Creamfinance with good current business figures from 2021/9M (+ 2.2 m € profit)

► Good interest rate of up to 12% with buyback commitment

► Thanks to a fee-less secondary market, I can exit Esketit quickly if needed

► The founders of Esketit/Creamfinance are still invested themselves and hold shares in the companies

In this article (link to German article), I explained in detail why I want to invest more capital than usual in Esketit. In the article there is also info about the founders, business figures and other info I have gathered.

The goal: €100,000

So my goal is to get to a total portfolio of €100,000 through deposits during the year.

Esketit – The road to the €100.000 portfolio

At an interest rate of 12%, that would be about €1,000 of interest earned each month. Once the goal is reached, I plan to pay out all the interest thereafter so that the portfolio remains stable at €100,000, and then I pay myself the interest of about €1,000 every month.

The start: €10,906.47

Today on January 1, 2022, I start to take on the goal. My portfolio currently at Esketit exactly amounts to €10,906.47. So to reach the goal of a €100,000 portfolio I need to deposit about €7,425 every month. That’s about €250 every single day. In reality, a bit less because the interest of Esketit increases the capital. I will not make the same amount of deposits every month, there rather will be differences. Certainly, there will be months of less and months of more deposits.

Translation: Bottom right shows the portfolio total of €10,906.46

This is how my portfolio currently looks like

Currently, the country distribution looks like this:

95% of all loans are from Spain. There is a 12% interest rate.

5% of my portfolio consists of loans from Jordan. There is more interest there – 14%. However, there is no group guarantee for the Jordanian loans. For this reason, I am not planning to invest too much in these at the moment.

Esketit – portfolio by country

My portfolio at Esketit – distribution in percent

Translation: Spain, Jordan

Loans from the Czech Republic are currently not in the portfolio at all. These are currently only subject to an interest rate of 10%. I still prefer the other countries. But this will change. The bigger the portfolio, the more I will later invest in Czech and Jordanian loans to avoid investing too much capital in Spanish ones.

About 3/4 of the loans are current.

Translation: Number of investments, current investments, 1–15 days late (16–30, 31–60, 61+), total

My bid amount

Currently, I have invested in 199 different loans. The goal is always to have between 200 and 300 different loans in the portfolio, to be sufficiently diversified. Currently, I bid €50 for each loan.

The higher the invested capital, the more I would like to invest per loan.

The LIVE-portfolio is updated daily

I have set up the Esketit LIVE-portfolio. It updates its current status every day, and it’s also visible at the top left of every page.

In what cases will the target be changed?

There are several reasons why I might change the target:

  • For example, if there are not enough loans and I can’t invest the capital (doesn’t look like it, but could happen if many new investors join during the year).
  • Esketit lowers the interest rates significantly (e.g. below 10%).
  • Creamfinance publishes annual reports with a loss (then I would be a bit more cautious and deposit less, e.g. only €50.000).
  • Other events that could affect the payment morale of the borrowers occur (e.g. strong economic crisis in a country where Creamfinance lends).
  • Delayed or unaudited financial reports could cause me to pause deposits.
  • If there are changes in the management of Creamfinance, I might also lower the target slightly.
  • As soon as any of the above events occur and I make a withdrawal, it will be immediately visible in the Esketit LIVE-portfolio.

Recent Creamfinance business reports

In the first 9 months of 2021, Creamfinance posted a profit of over €2.2 m:

That’s why I’m willing to increase the Esketit portfolio so much. There are recent numbers and the numbers have improved a lot from the 2020 pandemic year.

I will post an interim report on this goal on the blog at the beginning of each month. The first interim report will be published on February 1, 2022.