Crowdinvesting

Crowdinvesting is closely related to crowdfunding and has been in existence for around ten years. According to its name, the basic idea is that a group of people (a “crowd”) invests in a specific project or company. Marvest is all about digital maritime investments, which are already possible from an amount of 500 euros.

The advantage that crowd investing offers is a high risk diversification through the distribution of the individual amounts as well as attractive return expectations. In addition, you are always informed about specific projects and benefit from 100% transparency.

How widespread is crowd investing?

If you take a look at the development in the area of crowd investing, you can justifiably call it rapid. Projects come from the corporate sector as well as from the real estate, shipping and energy sectors and, according to the Crowdinvest Market Report, totalled 199.6 million euros in 2017 alone. By comparison, in 2016 the figure was 73.7 million euros, which almost triples the figure.

In the long term, the development is naturally even more positive and parallel to this the awareness of crowd investing and crowdfunding is growing in Germany.

Why Crowdinvesting?

At this point, one might ask what distinguishes crowd investing from other forms of investment. There are plenty of answers to this simple question, where the arguments in favour of crowd investing can be weighted differently.

Simplicity

First of all there is the openness and the simple handling. Compared to buying shares or ETFs and other forms of securities, a digital account is sufficient to invest money. Every investor is welcome – even with amounts of 500 euros or more, which can be increased in increments of 50 euros each.

Those who decide to work with Marvest can choose and invest directly from one of the numerous projects after registration. It should be noted that the financing phase is limited in time and must therefore be traded within a time window. Don’t worry: there will always be enough time to thoroughly examine and weigh up the investment.

An early investment is particularly worthwhile, however, as there is an immediate interest claim if the funding is successful.

A further advantage that the crowdinvestment offers is that it can be processed at your own desk. You do not need to enter a bank and, if you wish, you do not even need to pick up the telephone to place money. Our Internet platform has been developed to such an extent that you receive all information online and the complete settlement is carried out securely and digitally. The possible profits are impressive.

Yield

Speaking of profits: the returns on crowd investment are currently up to seven percent per year. Interest is paid either quarterly or at the end of each year, so you can have your money working for you in the best sense of the word. One advantage is that at Marvest you do not become a limited partner in a company, but a direct creditor of a project.

As soon as the agreed term has ended, the money paid in for the crowd investment is repaid. In the event that a ship is sold earlier, there is usually compensation for any loss of interest income.

Risk diversification

There’s a saying that says “never put all your eggs in one basket.” This also applies fully to crowd investing. You alone determine the level of your financial commitment, whereby the legislator has set a maximum limit of 25,000 euros. This is the maximum amount that can be brokered via an Internet platform.

Of course, you can also receive an individual offer if you are interested in a more far-reaching investment.

Transparency

A major advantage of crowd investing is its transparency. It could also be said that your investment gets a real face and you invest in a tangible way. In our case, we should rather talk about bow and stern, because at Mavest you invest in ships.

Of course, you will receive a comprehensive “profile” before your financial commitment and will find out exactly which ship it is, who the shipping company is and what the investment concept is. In addition, we keep you updated on the progress of a project so that you stay up to date and know exactly where your money is working.

Questions are welcome at this point and will be answered willingly and with a high level of expertise.

And while we are on the subject of transparency: of course there is clarity from the outset about the dates of interest payments and the final maturity. You can calculate precisely and look forward to exciting returns.

Risks of crowdinvestment

Admittedly, we also do not offer high returns without entrepreneurial risks. It is a loan that you give to a company or a shipowner and that is already covered by the metal value of the ship and its insurance.

It goes without saying that every possible project is thoroughly examined by Marvest before it reaches the market.

However, almost every crowdinvestment has at least the theoretical risk of a loss. Where entrepreneurial action is taken, success cannot be guaranteed, but experience from recent years shows that an investment via the crowd is one of the forms of investment with the best risk/return ratio. The disadvantage of not having a voice in the decision-making process, which is mentioned in some places, also applies to almost every other form of financial participation.

From a legal point of view, the crowdinvestment is subject to the Small Investors Protection Act of 2015.

What to look out for at Crowdinvesting?

In order to make a crowdinvestment, you do not need any special know-how or experience in dealing with financial products.

After all, it is a very concrete project for which a wealth of information is available. It can be worthwhile to take a close look and confidently ask questions that would never be possible when buying shares or securities in this form.

Another tip is to invest the right amount. Fortunately, you don’t have to worry about transaction costs, fees or hidden costs, but invest directly “one to one”.

Who uses the crowdinvestment?

The answer to this question can only be “anyone”. Indeed, it is difficult at this stage to establish a clear profile of an investor in the crowd area. Of course, a certain entrepreneurial spirit is required, but on the other hand the amounts can be scaled so well that even investors who are concerned about security will find the right offer.

All crowd investors have one thing in common: the joy of high returns and the willingness to tread new and promising paths.