[ADiamond]

Depends on what type of deals you syndicate on.

1.25 24 Months I would never ever not in a million years put my money into.

1.49 40 Day Terms as a 6th (All day long) - And the Guys doing the 1.25's would never do what I do.

I can't see tying my money up for 2 years, to create a 20-25% Return, with the risk (alot can happen in 2 years). 1.49 40 Days, You can flip your money over and over (your only exposed for Under 20 Days with your Fee)

Do the Math. 1.49 Every 40 Days (Minus say 8% Management Fee's) that's a 1.41 every 40 Days (240 days a Year)

You could make an 8.46 Factor on your money Per year.

Take Into account Defaults (20%) - Round up to 2.0, then minus it
** My Defaults are lower, but always safe to round up

6.46 Factor for the Year

Well you're correct about one thing - a 20+ percent default rate with those types of deals/funders.

What you're doing is the simple math, and it's extremely inaccurate. I wouldn't even go as far to say that it's remotely correct.

As a matter of fact - how you arrive at a 20% default rate equating to 6.46 net sell rate yield post-default, from a 8.46 gross rate - I haven't the slightest clue - because that's actually 200%.

What's funny is that I thought the same exact thing you're stating here - 8 years ago. "Well, it has to work out that way" right? It never does.

Like SmartAdvanced said - too long to explain. If you know, you know.

SIMPLETON EXPLANATION:

You actually have to make back the profit to roll it for it to actually compound - not just keep rolling principal from the payments you receive from days 1-30 - you do realize that right?



To each his own, and everyone has a different risk appetite - but you're only getting new syndicates to sign by telling them 1.499 @ 40 days 6th position - because they have zero idea what you're actually talking about - or about how it actually works itself out in real life.

[Sean Cash]

What's funny is that I thought the same exact thing you're stating here - 8 years ago. "Well, it has to work out that way" right? It never does.

Like SmartAdvanced said - too long to explain. If you know, you know.

yup