European P2P investors are playing long

Robo.cash platform analyzed the preferences of its investors by loan terms in historical dynamics. The data were examined by both investment amounts and the number of users favoring short- or long-term loans*. 

In regard to volumes, loans up to 30 days have declined since 2017 to a low of 3.4% in December 2023. Loans with a term of up to 1 year came to the forefront (37.9%). "It is worth noting that the volume of invested funds still slightly distorts the situation, as longer-term investments, in order to maximize profitability, usually involve a larger amount as well." - the platform analysts commented on the data.

Over time, more and more investors are opting for long-term loans. Thus, in 2023, the share of short-term investments by user amounted to 32% of the total portfolio, while medium- and long-term loans are steadily increasing (43% and 25%, respectively). 

"Of course, the development of the platform's portfolio is also influenced by the availability of certain types of loans in it. However, the result of conscious preferences of investors is also evident here." - the experts add. "With experience, they are willing to invest in longer maturities as this enables them to earn higher returns and grow their investment portfolios. This also shows an increase in their confidence in the market, which continues its strong consistent growth." 

* short-term loans – up to 3 months, medium-term loans – 6-12 months, long-term loans – more than 12 months.