In this interview, we aim to delve deeper into his perspective as both an analyst and an investor, explore his views on the future prospects of the P2P market and share his personal experience with Robo.cash.
- Hi Jesús! Thank you for taking the time to answer our questions. We truly appreciate your willingness to share your insights and expertise. Let's dive right in. Could you share a bit about your journey into the P2P lending space? When did it all begin for you?
- Hello, very happy to be here sharing these lines with the Robocash community!
For me, my P2P investment journey began almost a decade ago with the consolidation of the first preliminary wave of P2P platforms in Spain and the emergence of the first early stage global platforms in Europe.
At the time, I was looking for an asset class that would generate recurring income and allow me to diversify from traditional assets like bonds and stocks… And the truth is, I discovered the world of P2P investments and ended up absolutely in love with it… until today 😊
- How did you come up with the idea of blogging about investing?
- Despite being an engineer by trade, I've always been passionate about investing and personal finance, and before launching TodoCrowdlending, I had been toying with the idea of creating content around recurring income and long-term wealth creation for several years.
Around 2018—with an increasing number of P2P investment platforms available but very little reliable, quality information about them—I detected a gap in the market in this regard and an excellent opportunity to channel my investment passion by initially sharing my own experiences with the different platforms I was testing and later evolving into the systematic collection of metrics and statistics from all platforms to help make informed decisions (I am an engineer after all! 😉)
- What are the most important metrics you track when evaluating a P2P platform’s performance?
- If we focus exclusively on the platform report we prepare each month at TodoCrowdlending.com, the most relevant metrics we track include investment volume data (both cumulative since the start of operations and recent), user volume data (also both cumulative and recent), annualized return, average euros invested in the platform per investor, and key trends in all this data.
Furthermore, although it is not explicitly part of the TodoCrowdlending report and is outside its scope, on a personal basis as investors, we also try to study the audited reports of the platforms and the information available regarding the relevant originators—if applicable-.
- How has your approach to analyzing the platforms evolved over the years? Are there specific indicators you now pay more attention to?
- Great question! Yes, the truth is that platform analysis is a dynamic process that must necessarily evolve over time.
In the specific case of P2P investments, it can be said that there has been a before and after following the Covid-19 pandemic and the cascade of incidents that surfaced, including fraudulent platforms and companies that were way weaker than expected…
I believe the main change over the years has been a progressively lower weighting of the platform potential return and a greater weighting of data consistency and trend factors. Furthermore, personally as an investor, I now value qualitative aspects much more, including the team behind the platform and the history of operations, especially in difficult times (such as during the pandemic or with the outbreak of the Russia-Ukraine war).
- What obstacles do you face when collecting and comparing data from multiple platforms? How do you ensure the accuracy of your statistics?
- The biggest obstacle is usually the difference in criteria between the different platforms when it comes to calculating investment volume, number of users, or performance of their projects. An extreme case/example of this is, for example, the number of investors or registered users…A few years ago I even found a platform that reported a simple click or visit to its page as a user of its website without the user having even interacted or registered in any way… This type of manipulation is not common; however, based on our experience, we try to clarify with the managers of each platform the data that stands out because of being unlikely for a company of its profile and track record… Although, of course, we are not infallible.
Furthermore, although we have improved a lot in this regard over the years, we also naturally face the problem of transparency: platforms that do not make their key data public for whatever reason… In these cases, we always contact the people in charge to encourage them to report the data, even privately, so we can include them in the report, although this is not always possible…
- In your opinion, what are the current trends shaping the P2P lending market, and where do you see it heading in the next few years?
- This forecasting is always tricky, but let's give it a try...
The truth is, I see a lot of platform dispersion these days... Many new companies continue to emerge with proposals that are more or less a carbon copy of what already exists on the market and don't offer much to the user. In an increasingly controlled and regulated environment, it's natural to tend towards a convergence model of large platforms that dominate the market, with a smaller presence of these satellite platforms.
Furthermore, with the rise of artificial intelligence, I think it's the right time to revisit the idea of platform aggregators. I believe that the future of P2P investments—in a few years—will involve having an integrated dashboard from which you can invest in projects on almost any platform, with advanced AI-powered auto-investment functions.
- You’ve been investing in Robocash for quite some time. What do you like the most about the platform and what sets it apart from other players in the market?
- I think what's truly extraordinary about Robocash, what sets it apart from other market players, is that it's always been there, offering solid and consistent performance to its investor users for years and years. Even more importantly, in difficult times, such as during the COVID-19 pandemic or the outbreak of the Russian-Ukrainian war, it has remained a pillar of reliability. Where many others faltered and hesitated, Robocash has continued to offer impeccable service to its users, always looking out for their interests.
Furthermore, I particularly like the simplicity and accessibility of its interface, the quality of its customer service, the variety of opportunities, and its clear focus on auto-investment and one-click investing, minimizing the management time required by the investor / user.
- For investors considering P2P investments, what advice would you give based on your experience and recent market insights?
- Although it may seem strange, the main advice I would give them is not to follow or seek advice from others, but to be curious, critical, and form their own investment preferences and criteria.
P2P investments have countless advantages, including attractive returns, a very low entry barrier, portfolio diversification and fostering good investment habits, but like everything, they are not without risks.
I think that, aside from what we've discussed, in the world of P2P investments, it's important to surround yourself with the best possible partners: solid, market-leading companies with an excellent track record of operations — even during crises — and a clear commitment to transparency. In this sense, Robocash seems like a good place to start, right?
- And what do you enjoy doing in your free time when you're not busy with analyzing finances? :)
- Besides spending quality time with my family and close ones, curiously, one of my main hobbies isn't completely separate from the financial world… because I love collecting banknotes and coins from around the world... it's an ideal excuse to travel and discover new countries, and interestingly through currency, you learn a lot about the history and culture of different places... 😊
...Be that as it may, thank you very much for inviting me to spend some quality time in this space with the Robocash community... It's been a real pleasure… Until next time!
- Thank you once again, Jesús. We're sure our investors will appreciate your personal investment expertise.
For those interested in learning more from Jesús and staying updated on his analyses of investment platforms, we encourage you to visit his blog.
