Accessibility, security and diligence: how this savvy investor chooses just the right loans to invest in

Back in 2017, GrownUps member Adam Dearsley was looking for something new to add to his investment portfolio. When he read a business article spotlighting Zagga, he decided to dig a little deeper and today, he’s very glad he did.

An experienced investor with a diversified range of commercial property, equity and fixed interest investments in his portfolio, Adam was already investing with one peer-to-peer platform, but Zagga was different enough to pique his interest.

“Generally, my priorities [for fixed interest investments] are higher returns than I’d get through bank investments, while still offering reasonable security for the risk profile” says Adam.

“Zagga offered all that with a user-friendly platform and excellent client service. I was already involved with one peer-to-peer platform, but it was based around hundreds of tiny parcels of money contributing to relatively low value loans and zero tangible security. Zagga offered fewer loans but of higher value with very good security. That appealed to me, so after a little more investigation I started working with them as well.”

Zagga is an online platform matching serious investors to borrowers with real goals. Investors can fund loans in full or in increments of $1,000, always knowing exactly where their money is going and what it’s funding.

To help investors with their decision making, Zagga assigns a Credit Assessment Score to each loan. These gradings are based on data about the borrower and include serviceability, credit history and the loan to security value ratio (LVR). All data is made available to Zagga Investors via a secure online portal.

Adam believes that when choosing investment loans, it’s vital to maintain a presence across all these variables. Zagga’s straightforward, administrational approach helps you do just that.

“Each loan is given a high-level summary with the option to dive down into additional detail and documentation. I can check the LVR, the returns, location and the term of investment, all with just a few clicks,” he explains.

“Having that information so accessible made me feel secure in investing with Zagga right from the start.”

Adam invests under the company he launched nearly 10 years ago, Green Light Management Group. But he’s also a busy Programme/Project Manager working on contracts in and around the capital, so day-to-day life can get pretty hectic. This means any investment he makes, needs to be as effortless as possible.

“That’s why I appreciate the convenience of Zagga,” he says. “Their model fits in with my lifestyle and once you’ve put in that little bit of effort up front, it’s all smooth-running from there.”

With consistently good returns, Adam’s confidence in Zagga has only increased over time.

“When investing, I generally look for between 7% to 10% return, and I’m pleased to say that those are the kind of figures I’ve been getting with Zagga.”

It’s not just the returns that have earned Adam’s confidence; he’s also impressed with how approachable, responsive and thorough the Zagga team are.

“In 2018, their due diligence uncovered some crucial questions about one particular opportunity. Their action on that occasion gave me even more confidence and trust in the whole Zagga team and the transparency of their processes.”

With five Zagga loans currently on the go, Adam is looking forward to building his peer-to-peer investments and working his cash to its full potential. For anyone interested in experimenting with peer-to-peer investing for themselves, Adam highly recommends Zagga for security, diligence and accessibility,  Go to https://www.zagga.co.nz/ to find out more about how the private lending ( also known as peer to peer lending) platform could help you maximise your return on investment.