Grupeer review and key facts:
- Average interest rate of more than 14%
- Mix of business loans and real estate investments
- All loans are secured by a Buyback Guarantee
- Close to 8000 registered investors
- More than 25 Million Euro invested
updated March 29 2019
What is Grupeer?
Grupeer is one of the most recent marketplaces I started investing on. The platform looks quite interesting to me due to the mix of personal, business and real estate loans and the pretty high interest rates they offer.
Their website is clean cut and reduced to the most important things which I also like. After opening my account with email and password, I validated my identity by uploading a scan of my ID in the Identification section. It just took a minute to fill in some additional info like country of tax residence. For some reasons, Grupeer would like to know the income of their investors but you can enter anything you want in this field anyway. I suppose that Grupeer wants to generate some user statistics out of that. About half an hour after uploading my documents I already received an email that my account has been fully activated. That’s a pretty swift service.
Funds are deposited via bank transfer which took only one business day in my case. After that, you’re good to go. Withdrawals can be made via bank transfer to the same bank account you use for the deposits. No surprises here; it’s the same procedure as for all other marketplaces.
The overview section of your investor’s account will then show you your available funds and your invested funds. Interest and repaid principal will also be listed here as soon as your investments start to generate some cash flow.
How to invest with Grupeer
Under the Invest tab you get a list of all available business loans (Loan Deals) and real estate Development Projects. All loans are protected with a Buyback Guarantee that kicks when a loan becomes 60 days late. All accrued interest and loan principal is paid back in full.
You can find more information about Grupeer’s investor protection here: https://www.grupeer.com/blog/p2p-investing-what-happens-if-loan-originator-fails/
There’s also a tab for the Secondary Market where you can trade your loan shares with other investors but that’s still a pie in the sky since Grupeer hasn’t activated this feature yet. So, something to look forward to.
The most important item in the Invest section is the Auto-Invest setting. Here, you set your automated investment strategies that take the hassle of investing into many separate loans off your hands. Select the key parameters like desired interest rate, loan duration and loan types and you are good to go. The Auto-Invest will invest and re-invest your funds until you deactivate it.
Last but not least, Grupeer seems to have something neat in the works which they call their Stability Fund. This will be a real estate based fund through which you can basically buy a share of a real estate property and participate in the income that this property generates. In other words, you’ll become a landlord. Grupeer advertises this with a prospective rental income of 4-8% per year. This sounds like a very interesting and more conservative investment opportunity. I’m curios to try it when this opens up to investors. This might be a topic for another Grupeer review in the future.
So, for me, Grupeer is joining the ranks with other solid investment platforms and helps me diversify my portfolio. If they maintain the high interest rates, I’ll keep investing there and I certainly want to check out their Stability Fund once it turns live.