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What is the point with loans ?
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Miezip Eclipse
Project Eclipse
#1 - 2016-04-07 09:21:10 UTC
i am abit confused,

Say someone want to borrow 20 bil isk, for him to get investors he normaly need to provide collateral at something like 100-110 % of the value, that's all fine and dandy

but what I don't understand is, why would someone borrow isk if he has that kind of money already to put down as collateral
why not just use the collateral for what ever the person needed that isk for ?

hope someone can clarify

Off topic question, - Why is the no actual market discussion in this forum. only loans and what not

Regard Miezip
Miezip Eclipse
Project Eclipse
#2 - 2016-04-07 09:28:01 UTC  |  Edited by: Miezip Eclipse
Oooh silly me, I just had a lightbulb moment,

the collateral is of cause not isk, but items that the person does not wish to part with permantly

Doooh
Cista2
EVE Museum
#3 - 2016-04-07 10:33:17 UTC
Also, if you scroll a bit, you will find some interesting threads, for example discussing the influence of the new citadels, and the new broker fees, on the future of the market.

My channel: "Signatures" -
Rhivre
TarNec
Invisible Exchequer
#4 - 2016-04-07 11:04:02 UTC
Miezip Eclipse wrote:
Oooh silly me, I just had a lightbulb moment,

the collateral is of cause not isk, but items that the person does not wish to part with permantly

Doooh



Or items which are not easy to offload

Fluffy Bunny Pic!

Tau Cabalander
Retirement Retreat
Working Stiffs
#5 - 2016-04-07 18:30:01 UTC  |  Edited by: Tau Cabalander
If I sold my assets, then that would impact my ability to do business and earn ISK.

Rhivre wrote:
Or items which are not easy to offload

... and similarly some items are not easy to replace.

Example: ME:10 TE:20 BPOs that take the better part of a year or longer to research.
Sabriz Adoudel
Move along there is nothing here
#6 - 2016-04-07 23:46:18 UTC
Tau Cabalander wrote:
If I sold my assets, then that would impact my ability to do business and earn ISK.

Rhivre wrote:
Or items which are not easy to offload

... and similarly some items are not easy to replace.

Example: ME:10 TE:20 BPOs that take the better part of a year or longer to research.



Yep. There's plenty of items that have a big gap between 'firesale' price and the price that a willing buyer will pay.

Tech 2 BPOs and Alliance Tournament ships are extreme examples.

Another example would be if you have so many of a single asset that selling them at once would crash the market. This can be pretty low - I own less than 3 billion ISK worth of Thalia hulls, but I would crash the market if I sold them all at once. An acquaintance used to own 55 billion worth of Guardian hulls and even with that being a popular ship they couldn't sell more than 3-5b worth per week without smashing the price.

I support the New Order and CODE. alliance. www.minerbumping.com
Amy Inhibenson
Living Off The Land
Intaki-Business Logistics Union
#7 - 2016-04-25 10:00:03 UTC
Sabriz Adoudel wrote:
[quote=Tau Cabalander]Another example would be if you have so many of a single asset that selling them at once would crash the market. This can be pretty low - I own less than 3 billion ISK worth of Thalia hulls, but I would crash the market if I sold them all at once. An acquaintance used to own 55 billion worth of Guardian hulls and even with that being a popular ship they couldn't sell more than 3-5b worth per week without smashing the price.


How do you find yourself in such a lamentable position. Manufacturing too much?
Sabriz Adoudel
Move along there is nothing here
#8 - 2016-04-25 13:53:22 UTC
Amy Inhibenson wrote:
Sabriz Adoudel wrote:
[quote=Tau Cabalander]Another example would be if you have so many of a single asset that selling them at once would crash the market. This can be pretty low - I own less than 3 billion ISK worth of Thalia hulls, but I would crash the market if I sold them all at once. An acquaintance used to own 55 billion worth of Guardian hulls and even with that being a popular ship they couldn't sell more than 3-5b worth per week without smashing the price.


How do you find yourself in such a lamentable position. Manufacturing too much?



Bought them up from people that built too many. Look at the price history and you'll see evidence of my buyup in Jita a month or two ago. They were well below build cost and a ship that sees some use in FW.

I support the New Order and CODE. alliance. www.minerbumping.com