Should I Use Prosper To Diversify My Profile?

Hey everyone, Josh here again. I recently went back to the Prosper review I did a while back and did what I could to beef it up a bit. I wanted to provide more, in depth information on the option, and I may do it again in the future. As a matter of fact, you may see me running around a few of the old reviews to beef things up a bit soon! Anyway, back on topic here…

As I was doing research and adding to the Prosper review, I got to thinking, “Well damn, either I’m a real good salesman, or there’s something to this!” Just like I did with the Betterment review, I think I’ve sold myself. Now I just need your help on making my final decision. So, lets chat.

Here’s What I’ve Got Going On

Size of Investment – Now, I’m no millionaire. Truth be told, I’m not a hundred thousandaire. I’ll get there, but I’m not there yet. Therefore, I have to think about how much diversification I can really accomplish with the small amount of money that I’ve got to invest. Although, having a full 100% in a single investment is obviously a bad idea, should I really think about adding an entirely new investment concept to my portfolio? Truth be told, I think I can get away with it, but if you have any reason I shouldn’t I’d love to chat in the comments below!

Security – When it comes to the stock market, I’ve got all kinds of regulations that are “Watching over my investments”. Do I have the same security when investing in peer to peer lending? The answer is no! Although the peer to peer market is somewhat regulated as of recent times, it’s still not heavily regulated. But then I got thinking again. The reality is, there aren’t too many regulations in the stock market that really protect me. FINRA and the SEC are out for big dogs stealing big money. They wouldn’t be too concerned about protecting my chump change anyway. Anyway, a big question for me here is, “Should security be a concern?” If so, is it enough of a concern for me to not consider the option anymore?

Timing – It seems like almost everyday in the past month or so that the markets have been inching up on or closing at record highs. I know peer to peer lending has incredibly high returns, there’s no doubt in that, but in such a good market, is it a good idea to pull money out and put it into something else? The reality is, I’ve got pretty good returns going for me already, how advantageous could it really be?

Where The Money Goes – You know, when you really think about investing, you can start to think of it from a moral standpoint. No matter what you’re investing in, whatever it may be, you’re investing in that cause. You’re investing in the growth of a company. Well, what if we think of it from a different aspect and now say, I’m going to invest in my peers. I’m going to help my peers get what they need and want. Well, there’s a moral high ground to stand on in that. Please correct me if I’m wrong, but for me, it feels good when I help others.

My Final Decision

Well, honestly I haven’t made my final decision yet. I really like the way my portfolio is going. I’ve made quite a bit in the market percentage wise and I’m a bit scared to start messing with things. On the other hand, there may be better returns in the peer to peer market. Prosper seems to have a handle on the market. It all seems safe. I’m at a loss, and that’s where you come in! Have you ever used Prosper or do you currently use Prosper? If so, how’d you like it? Even if you haven’t, do you have some meaningful information that you could add to my thought process here? I’d love to hear it in the comments below!