Grupeer is among the first crowdlending platforms I personally started investing in, after having followed the platform for a while. In this review I share my experiences based on the first 3 months investing with Grupeer.
The first half of the review contains key information, pros and cons and includes my own opinion of Grupeer. The latter half provides a detailed walkthrough of the website and highlights the various options on the website.
Let’s get to it!
Table of Contents
Key information Grupeer
Grupeer is a business crowdlending platform located in Latvia. The company was founded in 2016 and launched operations in 2017. Recently Grupeer has gained a lot of traction and is well underway to become a well established platform.
A few key figures to get us started:
- 11,114 investors from 78 countries
- Close to 45 million capital raised
- Average yearly returns of 14.02%
- 28 loan originators
Grupeer offers development loans and business loans issued by its loan originators. Loans come in euro and the minimum investment is only € 10, which allows for quick reinvesting of interest. Grupeer does not charge fees to their investors.
Interested in more detail how Grupeer operates? The platform provides a detailed ‘How it works’ page.
Example of an active development loan with 13% returns.
Example of an active 14% business loan and background details of the borrower
Risk is a cornerstone in any crowlending review. So how risky is Grupeer? Investing inherently comes with risk. Having said that, Grupeer has several ways to mitigate risk.
- All loans come with a buyback guarantee
- Thorough due diligence procedures and financial analysis of loan originators
- Opportunities to diversify with 28 loan originators
- Skin in the game for every loan originator, 5% most of times
- Should a loan originator go bust, Grupeer protects the investors as a group by arranging professional representation to maximize assistance in debt recovery
An overview of loan originators and skin in the game.
Pros and Cons
- Above average returns, up to 13%-14%
- Buyback guarantee for all investments
- Auto Invest
- Loan supply serves demand
- Start investing from € 10
- Website is easy to navigate
- No secondary market
- Portfolio statistics are lacking
My Grupeer Investments
I became an investor with Grupeer in February 2019 by investing € 2,000. Ever since I have made one more large deposit. At the time of writing I have deposited a total of € 10,000.
My interest rates range from 13% to 14% and all investment opportunities pay monthly interest. Up until now returns have been exactly as expected, no late payments at all. My investments are split between development loans and business loans.
Auto Invest now completely handles my investments. The only times I login to adjust settings are when new cash back campaigns are launched or for adding new loan originators to Auto Invest. Additionally I check my account balance at the end of the month in order to update my portfolio.
Find out more about my current Grupeer portfolio here.
Grupeer deposits over time.
Grupeer income over time.
My Opinion and Rating
Grupeer is quickly growing and it is impressive to see the loan supply continues to serve demand. On top of that, returns have been very predictable and account maintenance is minimal. Trust and reliability are important to put an investor’s mind at ease. I must admit Grupeer is one of my favorite platforms and I happily commit a significant chuck of my portfolio with the platform.
Additionally, cash back actions are launched regularly and provides an opportunity to boost your returns. Generally, the broader crowdlending community tends to agree Grupeer is among their favorite platforms. No secondary market and lacking statistics are the main downsides, but it does not bother me personally.
Grupeer’s financials also indicate the company has developed a model that works.
My Grupeer rating is 4/5.
If you’re considering becoming an investor with Grupeer I would appreciate it if you sign up through this link. It will help me run this blog at no additional cost for you.
Becoming an Grupeer investor
Becoming an investor with Grupeer is fairly easy. It starts with entering your email address and a password. After you verify your email address, you can login.
The following criteria are applicable to become an investor:
- Over 18 years old
- Succesfully go through the identity verification process
- Bank account from a licensed institute in the European Economic Area or Switzerland
The above screenshot details what information to provide during the verification process.
Navigating the Grupeer website
Grupeer’s website is pretty straightforward, however let’s run through it nonetheless.
Upon login you are faced with four different menus:
- My Investments
- Deposit / Withdraw
Below we will go through the menus together one by one.
Upon logging in you land on the Overview page. In one glance you see your account balance and total income. Additionally, both are broken down to their components as well.
The Overview page is intuitive and key features such as adding funds and generating income statements are clearly displayed. Income statements come as a PDF file and can be generated for any preferred time frame. It is broken down by interest and other income such as cash back and bonus income.
An overview of your account balance, total income and other information regarding your funds.
You can generate income statement for any preferred time frame.
The Invest Menu allows you to invest manually in development projects and loan deals or set up your Auto Invest. The secondary market is listed under Invest as well, but it has not been launched yet.
Manually investing is done by hitting the suitcase with invest on the right hand side, followed by entering an amount and confirming the investment. Development deals are executed using a similar procedure.
The loans deals list which allows you to invest manually in loan deals.
You can set up multiple Auto Invest strategies and prioritize the strategies to your liking. Find in the screenshot below an auto invest strategy I use for 14% loans.
My Auto Invest settings for 14% loans. All types, countries and loan originators. Interest rates 14% including cashback and terms up until 18 months.
My Investments provides you a full overview of all your investments, active and finalized. It shows, among others, principle amount, interest rate, purchase date and remaining term. You can also download all your investments as an Excel file.
All loan agreements are accessible here as well.
My Investments lists your investments and their details.
Deposit / Withdraw
Depositing funds, pretty critical for investing. You can wire funds using SEPA transfers or using Transferwise. It can take up to 3-4 days for the funds to hit your investor account.
Don’t forget to include your investor ID to smoothen the process!
Withdrawing funds is processed slightly faster and can take up to two days. You can withdraw funds to a verified back account, up to € 20,000 daily.
The Withdraw menu allowing you to specify how much you would like to withdraw, up to € 20,000.