- 1Share
In this video I outline how to calculate your returns using XIRR, which is one of the more popular ways of calculating p2p lending returns. I also outline some of the downsides to Lending Club’s adjusted net annualized return. This all can be done for free with Google sheets, but it also works with Microsoft Excel. Additionally, Simon from Lending Memo recently released a handy XIRR calculator here (note: no data is collected or saved in his tool). If you have any thoughts on calculating returns or if I have overlooked something, please let me know in the comments!
You can also subscribe to the Peer & Social Lending YouTube Channel. I will be continuing to post more useful tutorials for p2p lending investors.
- 1Share
- 1Share
Income Succession Plan says
Thanks for sharing Ryan! I recently calculated my Lending Club returns using XIRR and found it to report significantly different from the NAV calculation that Lending Club uses. I do all of my purchasing of notes (and selling) on the secondary market. XIRR more accurately captures my returns.
~ISP
Glad you found it useful and thanks for stopping by!
-Ryan
You say your XIRR was 13% at the end of the video. What did Lending Club claim it was? Does this work if you don’t make any deposits or withdrawals? If I don’t make any deposits or withdrawals is the Adjusted Net Annualized Return provided by Lending Club correct?