450B fully collat loan @ 2.5-3% monthly, filled


(probag Bear) #1

Collateral is being held by ENorn and noobs market orders

Book-keeping

Lord Hook:
-200bil 11/25 (original investment)
+1.2bil 11/29 (November interest)
+6bil 12/25 (December interest)
+6bil 01/24 (January interest)
+200bil 01/28 (share fully repaid)

Styx Saken:
-50bil 11/25 (original investment)
+0.3bil 11/29 (November interest)
+1.5bil 12/25 (December interest)
+1.5bil 01/24 (January interest)
+50bil 01/28 (share fully repaid)

noobs market orders:
-200bil 12/02 (original investment)
+5bil 12/25 (December interest)
+200bil 12/25 (share fully repaid)


(Solonius Rex) #2

Didnt this used to be a non-collat loan?


(probag Bear) #3

It did. I edited it.


(CistaCista) #4

Just out of curiosity, why? You will pay double the interest on the 250 bn.


(probag Bear) #5

If you can borrow $1,000 at 5% interest and make 20% profit off it, that’s a good deal, is it not?


(CistaCista) #6

That doesn’t really answer my question of why you wish to pay interest on the 250b two times each month.


(probag Bear) #7

Let’s say I know that a specific AT ship is going to double in price.

I use 250bil to buy 2 AT ships. I use those as collateral for another 250bil in loans.
I use that 250bil to buy 2 more AT ships.

In 3 months, sell the 2 AT ships I have on-hand for 500bil. I then buy back my collateral of 2 AT ships, and also sell them for 500bil.


(Elizabeth Norn) #8

Like probag says, he expects the collateral to appreciate in value and isn’t just trying to free up some ISK to trade with.


(Solonius Rex) #9

Cool, i know a specific Titan is going to triple in price. Maybe we should meet up.


(Zahara Cody) #10

Typically you don’t expect collateral to depreciate. That goes without saying.


(probag Bear) #11

Hm. Would there be interest in this loan if I were to raise interest, or is everyone’s isk just tied up?


(probag Bear) #12

Proposed interest raised to 3% monthly and minimum investment lowered to 10bil :frowning:


(Styx Saken) #13

I am filling 50 B of this, at a monthly interest rate of 3% and a duration of 6 months (early repayment possible).

Elizabeth, please let me know (e.g., by posting here) when you have received appropriate collateral.

Edit (for reference): First full interest payment of 1.5 B due January 1, 2018. Principal due June 1, 2018.


(Lord Hook) #14

I’ll do 200 bil @ 3% pending Elizabeth’s evaluation


(Elizabeth Norn) #15

I know what the collateral is, if you could send the ISK to me now then I’ll be able to swap it for the collateral when probag gets on.


(Lord Hook) #16

It covers the 50 and 200?


(probag Bear) #17

I went ahead and contracted 250B of collateral to ENorn.


(Styx Saken) #18

50 B ISK sent to Elizabeth Norn.


(Lord Hook) #19

200 bil sent to @Elizabeth Norn


(Iedan) #20

It may just be me, but enorn has a big uncollateralised loan going which put me off this. I wont have more than 10b to invest, however.