Auto Invest on Income is the simplest path to truly passive investing, freeing you from the constant need to log in and search for new opportunities. Once your preferences are saved, the system automatically picks out loans that align with your chosen criteria and reinvests your returns, ensuring that every cent of your money works toward growing your portfolio.
When setting up your Auto Invest, you should first decide on your approach.
One way to begin is by setting up a broad Auto Invest strategy that covers a wide range of interest rates and remaining terms. This broad approach, often favoured by new investors, ensures you capture a variety of loans while spreading risk across different countries and Loan Originators (LOs).
More experienced investors might prefer creating separate Auto Invest strategies for each LO. This approach gives you tighter control over how much money goes to each lender. For instance, if your total portfolio is €5,000 and you want to split it evenly among five LOs, you can assign €1,000 as the maximum portfolio size to each, ensuring a balanced distribution.
Once you have understood how you want your auto investment to work, you should start by naming it and adding how much you want this specific Auto Invest to invest. If you have chosen the broad approach, we recommend that your total portfolio size be higher than your current balance on the account; that way, any earnings will keep reinvesting automatically rather than sitting idle.
The next step is choosing how much you want to invest in one specific loan. We recommend the minimum amount to be 10 EUR. This ensures that the interest earned is more likely to meet the minimum threshold for rounding and display accurately in your account. The maximum amount in one loan depends a lot on your portfolio size and how many loans you want to catch with your available funds, ideally. For example, if you have a portfolio size of 1000 EUR, you might not want to invest it all into one loan but spread it across multiple loans, therefore setting the maximum investment amount in one loan to 100 EUR.
Then you get to choose whether you want the Auto to invest to “Reinvest” the accumulated funds and whether you want your Auto Invest to “Diversify Equally by Loan Originator”.
Keep in mind that if you opt for “diversify equally by Loan Originator,” the platform automatically splits your investment evenly across all selected LOs. Currently, Income features active LOs such as Current (LV and LT), Hoovi, ITF Group, Ibancar, Danarupiah, Sandfield Capital, and Danabijak. If any chosen LO runs out of loan volume, or if you include a non-active LO in your filters, your entire strategy may remain idle until more loans become available from those LOs.
Navigating the filters is straightforward, yet it pays to understand them.
The” Interest Rate” and “Remaining term” filters depend on your preferences. You can also focus on specific loan types—short-term loans, instalment loans, or car rentals—by selecting “Loan Type” accordingly. Also you can pick specific Loan Originators you want to invest in, but please bear in mind that when adjusting your filters—like interest rate, remaining term and country—to match the unique characteristics of each LO. For example, if a specific LO only offers longer-term loans, setting your term filter too narrowly may leave funds uninvested or when wanting to invest only in for example Ibancar and choosing the country to be Indonesia may leave funds uninvested.
Another aspect to consider in your Auto Invest strategy is including or excluding Early Buyback loans. Some Loan Originators (LOs) on Income offer the ability to repurchase the loan well before its stated maturity, often after a set minimum holding period. This feature can provide you with earlier liquidity if the LO exercises it. Not all loans come with Early Buyback, so it’s up to you whether you want the possibility of an earlier exit or prefer loans that will run to their natural term. However, keep in mind that if you don’t specify your preference at all, our system defaults to including Early Buyback loans in your strategy.
The general filter for Auto Invests is the “Loan Status” filter that allows you to choose whether to include “Current” loans only or to incorporate slightly late ones that might just be in the process of clearing payments.
And if you’re seeking even more specific control, the advanced filters let you hone in on loan amounts, exclude those that allow extensions, or limit how many times a loan’s repayment schedule has been extended in the past. Most people don’t use these advanced options, which are invaluable for specialised strategies.
As you become more comfortable, remember that it’s good to revisit your Auto Invest setup occasionally. Each time new LOs join the platform or an existing one starts listing a new product, you’ll need to review your strategies to ensure your Auto Invest catches those. Finally, diversification across multiple LOs, countries, and loan types generally helps reduce risk. It is also important to note that when you want to invest in a specific LO, the country and loan types they list should match your filters. By combining thoughtful filters with the platform’s Buyback Obligation and Cashflow Buffer protection, you can build a resilient portfolio that continues to generate returns without daily oversight.
