How can I exit my investments before their maturity?
Crowdfunded investments can be exited before their maturity by selling them on our marketplace to other investors.
What is a Crowdestate marketplace?
A marketplace is a place for you to sell your investments to other investors or buy investments made available by other investors to increase your investment portfolio.
Access the secondary market here:
By clicking on the 'Secondary market', you will see all the investments you can buy:
More detailed information about the secondary market is available at https://blog.crowdestate.eu/en/2018/crowdestate-marketplace/
How to buy investments on the marketplace?
First, go to the 'Marketplace' page where you can choose to filter investments by their names, expected rate of return, price, and investment end date.
By clicking on the name of an investment, it directs you to the page that presents the investment but be sure to get acquainted with the investment before making the purchase. To buy an investment, click on the 'Buy' button and you will get directed to this investment sale application page:
If you have a sufficient amount of funds on your investment account, click on 'Buy investment'. Use Google Authenticator or enter the code that you received with a text message to confirm the purchase agreement.
After the purchase is done, you can see your investments on your investment portfolio page.
How to sell your investments on the marketplace?
Go to your investments portfolio page and look at your active investments. Choose the investment that you would like and press the "Manage your share" button.
On the investment sale application page, set a suitable price for selling your investment to the next investor:
Use Google Authenticator to confirm the agreement or enter the code that you received with a text message.
In case you wish to change your offer, go to your portfolio and press the 'Edit offer' button. Keep in mind that you need to cancel the previous offer before making any changes. You can do that by pressing the 'Cancel sale offer' button.
How to take your investments off the marketplace?
Under active investments in your portfolio page, choose the investment that you are currently offering on the secondary market, click on the 'Edit offer' button, then, on the next page, click the 'Cancel sale offer' button.
Income and interest from sold investments
You have to declare the investment profit made on the secondary market at the end of the year, Crowdestate adds the data about the profit to your current interest validation.
The marketplace sales whose interest has not been taxed by income tax must be taxed the same way by the investor as all other transactions.
Expected rate of return on the marketplace
The expected rate of return is calculated on an annual basis. If the project is due to be over in only a couple of months, then the expected rate of return is calculated by an end date of the project.
The average expected rate of return marked on the portfolio page is an expected net profitability or the loss from the purchase has already been included.
The expected rate of return is calculated with an XIRR method, which takes into account both the date and the future cash flow. We will discount all future cash flows with specific dates.
The expected rate of return on the marketplace is calculated every day.
Dividing investments into several separate parts
You can sell your investment as a whole, you cannot divide your investment into smaller parts on the Crowdestate secondary market.
The expected rate of return is >100% or N/A
For such projects, the system cannot calculate the expected profitability using the XIRR method, as there may be unpaid payments and interests on arrears on the payment schedule of the investment opportunity. We recommend examining such projects in detail.
You can read how expected profitability is calculated HERE.
There is a 2% + VAT transaction fee for selling investments in the secondary market. The fee will be charged to the seller’s account simultaneously to concluding the sales-purchase transaction.