Envestio review 2020
Check out our Envestio review, and see if the platform is for you.
Review of Envestio
We find the return compared to the safety alright.
The Envestio P2P platform is beginner friendly.
Envestio has made a fair amount of safety measures.
Investors get an average return of 18.36%.
We Don’t Like
Summary: Envestio gives investors a staggeringly high return. But as they write on their own website, the investments on their site is not something you should pour all your life savings into. The loans are high-risk. But with an average return of 18.36%, we can understand why many investors have a part of their portfolio in projects from Envestio. So if you are not faint-hearted, maybe you should try them out.
It’s completely free to use their platform
Last updated: January 2, 2020
Envestio review 2020 – Is the platform safe?
Envestio has been widely discussed by P2P investors recently. Due to a very high average return of 18.36%, one also understands well why the platform captures investors’ interest. So with a healthy skepticism, we decided to assess how secure the platform is to its investors.
We, therefore, recommend that you read this Envestio review, if you are currently considering investing through their platform. Of course, we will also include our best tips and tricks, if you should end up deciding to use the platform.
Attention: We have entered into an agreement with Envestio. The agreement means that the first time you deposit at least €100 on your investment account, you will get €5 extra to invest for. As if that were not enough, you get an activity bonus of 0.5% for the first 270 days after you register. Basically, the bonus gives you 0.5% of the average amount you have invested on the platform over the period. To get the Envestio bonus, simply register on their platform through one of the links here in our Envestio review. At the same time, you’ll support our site.
Before you just throw yourself into it, we recommend that you read our Envestio review from one end to the other. However, we are aware that you may just want to know something specific about the platform in order to make a decision. Therefore, you can also use the navigation below to find the point you want to know more about. One thing to be aware of when reading our Envestio review is that it should not be considered financial advice. The review is only an expression of our own opinion.
Learn about the following in our Envestio review:
What is Envestio?
Envestio is a crowdinvesting platform that focuses on bridge financing/equity replacement loans. They help owners find temporary financing for their projects. The financing is provided through the many investors on the platform, who then benefit from the return.
Over time, it has, among other things, been possible to invest in real estate development, cryptocurrency mining hardware projects, urban mining and much more.
Envestio started in 2014 as a private investment fund. But in late 2017, they decided to go public, and thus offering crowdinvesting opportunities for a wider audience.
The company is based in Estonia. This means that many of the investments you can make on the platform are in the Baltic countries.
Compared to other P2P lending sites, Envestio is still a quite small platform with around 14,000 registered investors.
What rate of return can you expect?
On Envestio the average interest rate for the current investors is around 18.36%. So you can expect a return that is similar to this. When you invest on their platform, you select from a few projects what you want to invest in. It is therefore also possible for you to control the return you receive. The typical return on various projects on the platform has been around 15-23%.
Be aware that returns often follow risk. One of the biggest problems at Envestio is that it is more difficult to diversify than on other platforms. Therefore, the risk will also be correspondingly greater. If you want to invest with more diversification and even buyback guarantees, we recommend checking out our review of Mintos.
Envestio is probably only for investors with a high risk appetite.
Who can invest via Envestio?
Both individuals, but also companies can register at Envestio. So whether you want to register as a business or private person, it is possible.
As an individual, there are very few requirements for you to be allowed to invest through the platform. It is only required that you are an adult. In order to make withdrawals, it is also necessary that you can verify your identity.
If you would like to sign up as a company, you must select corporate member instead of private member. Then you have to fill in the various information about your business. In order to invest as a company, your business should be registered in a country that is a member of the European Economic Area (EEA). However, if it’s from Switzerland, it’s also allowed. It may be that you can be registered anyway. Here we recommend you to contact Envestio with more details.
Want to sign up as an investor at their platform? Then remember that you can get an Envestio referral bonus if you use a link from this review. To receive the Envestio bonus you can press the button below:
Is Envestio safe to use?
It’s no secret that you at Envestio can achieve a very high return. But is it safe at all? In the following, we take a look at whether the high return is worth the risk:
The main risk
The projects at Envestio are riskier than many others. But on the other hand, you get a higher return by running this risk. So when you invest with Envestio, the primary risk is that a project fails. Here you run the risk that your entire investment with both principal and interest may be lost.
In the case that an investment project becomes insolvent, your loss i limited to the size of your investment. This means that you do not run into additional liabilities.
How investments are chosen
People who have a project they would like to get funded can come directly to Envestio. From here, Envestio considers the possibility of the project on their platform.
So before a project gets listed on Envestio, their team performs a deep analysis of the project. They do this to make sure that the risk the investors run is as minimal as possible.
Among other things, they assess whether the borrower has enough funds and assets to repay or not.
Although Envestio’s team performs due diligence before they allow a project on their platform, it is still a possibility that a project defaults.
How to use Envestio responsibly
Due to the greater risk of individual projects than on many other platforms, there are some things you can do to protect your money.
First, it is a great idea to diversify your investments on Envestio. This means that instead of putting all your money in one investment on the platform, you can spread your risk by investing in multiple projects.
Second, it is also a very good idea not to invest all of your money through Envestio. In cases where Envestio projects only make up a small part of a larger portfolio, with many less risky assets in it, you should be okay. Should it happen that a project on Envestio was exposed to a default scenario, it would not be the downfall of your portfolio.
Can I get an Envestio promo code?
It has not been possible for us to find an Envestio promo code. However, we have made an agreement with Envestio, which gives you an activity bonus of 0.5% for the first 270 days, if you sign up via our site.
So, instead of using an Envestio promo code, you can use any link here on the site to sign up with them. That way you will get access to the bonus.
Would you like to claim the bonus? Then press the button below. If you sign up via that link, or any other link in our Envestio Review, you will get access to the 270 day activity bonus. In addition, you receive a cash bonus of €5 if you deposit at least €100 on your investment account:
Conclusion of our Envestio review
We believe that Envestio is a relatively secure platform. What you should pay the most attention to when investing through the platform is to properly diversify your portfolio. Especially with the high risk, but also reward, on the loans.
Unfortunately, with few projects, it can sometimes be difficult to get diversified properly, thus spreading your risk. Due to that fact, we recommend that you use more than just one platform if you want to use Envestio. Here you can take a look at Crowdestate, PeerBerry, Grupeer or Crowdestor. We think these platforms compliment Envestio quite well.
As a final note in our Envestio review, we want to give Envestio and its investors kudos for trying to help entrepreneurs getting their projects funded. This really is one of the places where Envestio differentiates itself from many other P2P lending platforms.
Would you like to invest through the platform after reading our Envestio review? Then you can come to their website by clicking on the button below. Please note that this is an affiliate link. If you make use of it, you and we will receive a bonus based on the investments you make on the platform: