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11月2日 November 2 2006 Update and Special Report: Rog's OfferThis has been a bad month in the HYIP Land. Here is my overall analysis. I have also saved the detailed analysis on Rog's Offer at the end of this report.
Good
KAOnline: I am in profit by 38% above the original invested sum. I am very happy with KAOnline as it currently shows no signs of retreat. My confidence in the program has allowed me to upgrade my investment with KAOnline to 50% compounding.
SGFH: The program had a small payout on September 5th. However, I believe that the program will pay more interests in a few days once their profit report comes out.
Club FX Traders: I like how PeterB conducts business. Sometimes he gets too technical but it shows that he knows what he is doing.
Europe Trade: I am in profit and have decided to compound my money with them for a while.
HYIP Pool: It still pays my $0.01 / day. I think it's a good program to sign up with if you want to make sure that your e-gold account is active and has no withdrawal value limits. :)
SFGQ Investment: This is the best in the business because I am behind it. :P It was launched officially yesterday. I am in this with 5 figures. Hopefully investors will see the value in what I propose.
Bad
OSC is blown out of the water as I expected from my October 1st report. I have already written this off in the last report so it doesn't change my balance sheet.
NYSE Brokers after 18 days of non-payment, actually paid me my principal + 2 months worth of interests after someone almighty helped me talk to them. I can't disclose his name but my analysis is that NYSE Broker will be gone very soon. Anyways, I am in profit with NYSE Brokers in the strangest way.
Rog's Offer is not paying. After following the thread carefully for 2 weeks, I have concluded that this program is better off written as dead than to keep false hopes. I have subsequently written off my investment in Rog's Offer for my HYIP Financial Reporting as it applies to my BottomLine. More details will follow below.
BottomLine:
I am at 27%+ return above the original principal invested for my overall HYIP portfolio.
Special Report!
Rog's Offer upsets me greatly for various reasons and it's not even about the money. I will discuss it as if you have never heard of this program.
Rog's Offer has 3 programs offering 3 types of returns. They all have "personal guarantee" stamped all over them guaranteeing the principal. Sounds fair, right? I mean, geez, it's no risk at all. Why not do it?
Everyone, including me, trusted Rog. If you look at my earlier blog, you will see that I even pledged all of my interest income to Rog's Offer for the meantime. Throughout October, I have then given Rog all of my interest income even my NYSE Brokers money that I barely just got back. We trusted Rog for a few reasons: 1. He has been paying. 2. He is a senior member of the HYIP community. 3. He is allegedly a former offshore banker and 4. We wanted to believe.
Something went wrong here and really, even I was fooled. So what went wrong here? Let me detail the recent history in October:
1. Rog switched the window of payouts for Trade 1 in October. That was a minor move yet my take on this was that it signaled a cashflow problem. I was still naive enough to defend Rog and tell everyone that it's OK as long as he pays within 60 days. I was wrong and that was my last defense of Rog's Offer.
2. Rog decided to pull a "System Withdrawal Limit" stunt to stop paying investors. That part is understandable only if the program is legitimate and we can continue to accrue our "200% return per 60days" including our past period's accrual. That did not happen and worse yet, literally most of the rollover interests are accounted as gone. People continued to cheerlead but here is my take on it and I got lynched by Rog's supporters:
A. We have no way of telling what Rog is doing with the money and if it was indeed making money instead of losing money, we'd be screwed over our profits. This is what bad business partners do to you.
B. Because we have no control or access to our investment money, we rely on Rog's integrity as a businessman to pay us the agreed profits by the due dates.
C. If the program was indeed losing money, he still personally guaranteed our money 100% and we should have the option to withdraw our investment when the "contract term of 60 days" is up. We should be allowed to withdraw our 100% principal and walk away because this is "100% PERSONALLY GUARANTEED."
D. Cheerleaders keep on saying, "No one lost money in Rog's Offer. Did you? So shut up!" My take on it is that we lose money when we effectively lose control of the money payout. When we have no control over our payment amount and payment timeframe, it's as good as lost. It becomes one of those bad debts that gets written off at the end of the year by your corporate accountant. Sure, Rog promised January 15th, 2007 as the payment date but do you really have a choice to withdraw, ponder the offer and then reinvest? No. So Rog breached the contract agreement not only by not paying you the interests but also by the fact that you have no access to withdraw your principal previously agreed upon.
E. PPP1 Trade options are deferral tactics. It's like saying, "Hey, I can't pay you but why don't you wait for a while and I will see what I can do to pay you off in 4 months?" This was forced. It's something companies do to defer Accounts Payables when they have cashflow problems. Bingo, it's same as Condition 1 above.
F. I decided to test the water on behalf of some of my close investor friends by firing off a legal demand email. This was more of a test of Rog's professional experience as a banker rather than anything else. Most people didn't understand and lynched me again but here is truly what happened. I fired it off and asked him to address my account for its past account interests and to be paid at least PPP1 interests and to allow me to withdrawl AND to address the forum regarding our questions and concerns. If not, I'd pursue legal investigations. Get this: Rog sent me back a standard response email that he sent to everyone else immediately and then addressed the forum exactly as he addressed me with the same ambiguous response. At that point, I knew we all just got scammed. Here is why:
1. An experienced banker under a legal demand letter would take the time to seek legal counsel or have his legal contacts get in touch with me instead of sending me a b.s. counter-demand letter. There would be no way that an experienced banker would reply immediately without carefully rewording his thoughts and ensuring that I would be satisfactorily answered.
2. The response was ambiguous but it made certain promises again which would then be used as "paper trail."
3. My questions were still not answered or addressed specifically at Rog's RISK of being legally investigated. Why the heck would a bank owner be so careless?
My final conclusion is that Rog was never an offshore banker and even if he was, he wasn't a good one. In reality, this is what happened: we invested in someone that we didn't know who decided not to pay us the decent courtesy of valuing our business by giving us the right options to our money. That is a fact.
10月25日 SFGQ's Offer: 20% per Year. Personal Guarantee. DD Offered.November 1st, 2006: Launch. Updated: 11/24/2006. Ever since I posted on my signature line: "PM Me if you want 20%/year ROI, DD and 100% personal guarantee" I have received many inquiries regarding the offer. Instead of emailing everyone, I would like to detail the program below. Program Background: I did a 130 page research thesis paper on forex arbitrage and related statistical analysis for my grad school program. Ever since then, I haven't thought too much about it until I came across HYIPs that were claiming unbelievable profits. I decided to put my research into practice this year and have since then been able to produce 5%/mo risking very little trend-based fluctuations. I have also put in 15k of my money testing various failure points to ensure the integrity of the strategy and its failure limits. From what I have gathered so far, investment in my arbitrage strategy won't make you millions but it will sure return at least 4 - 12 times the going rate of USD interest rates at your local banks. I am taking the low number of 4 times as a personal guarantee at 20%. My fees are exactly what I can do to maximize the investment above the 20%/year. The dollars and cents: Program 1: 20% ROI in 12 months. Minimum = $500 before Feb 1st, 2007 and Minimum = $1000 afterward. DD verifiable by one of the HYIPD DDers. I personally guarantee the principal and the return. You put in $1000 today via wire. In 12 months, you will receive $1200 via wire. I absorb all wire fees on my accounts in the process. Program 1 Monthly Payout Option: After the initial 12-month contract matures, you will have the option to receive monthly interest payouts from your balance. This is designed for investors looking for monthly income stream. Program 2: 8% ROI in 6 months. Minimum = $500 before Feb 1st, 2007 and Minimum = $1000 afterward. DD verifiable by one of the HYIPD DDers. I personally guarantee the principal and the return. You put in $1000 today via wire. In 6 months, you will receive $1080 via wire. I absorb all wire fees on my accounts in the process. Transaction: Bank Wire USD and EUR Accepted. E-Gold USD-based Only. Lock-in Period and Early Withdrawal Penalty: The minimum lock-in period is 3 months. If you choose to withdraw after 3 months, you will lose all interests accrued and will need to pay for a $75 transaction fee (wire out from trading and wire out from my bank). Due Diligence: I will give a copy of my passport and my ID notarized by the court, not just by a public notary, to two HYIP community DDers. The same individuals would also have access to the read-only interface of the trading account(s). Monthly Audit: Investors' Money will be secured by the Equity Available in the Trading Account(s). The audit will be performed by a third party on a monthly basis. The third party is either a reputable HYIPD DD'er or a certified accountant who by the law, is reporting the accurate financials. Fraud and Trade Secret Loss Prevention: For the program's protection: you will be signing off on a loan document and my signed acceptance of your loan prior to my disclosure of the wire instructions. An NDA is also signed. For your protection: Your loan information is completely confidential. For security purposes, I need a copy of your ID with your name which is the same as your wire originating bank. No one can alter your bank account wire instructions unless precautionary ID-based verification is notarized by your local notary or your local court. For those of you that have suffered web-based hacking into your investment accounts or your e-gold accounts, you will appreciate the extra step that I am taking to ensure your investment is safe. Personal Guarantee I guarantee the loan up to its maturity value, not just the principal. Why Should You Invest? This is the only program that I know in the HYIP Land that offers DD and Audit-based Principal and Return Guarantee. This means I, a real verifiable trader, owe you the principal and the return until the money is paid off on the day that the money is due, regardless of whether my programs make money or lose money. If you are constantly losing sleep over your HYIP investments (no DD, programs may disappear, etc.), my conservative program offer is your solution. Your risk is minimal. If you really want to play safe, you would only invest the interests derived from my programs towards your other HYIP programs. Estimated Fund Raising Before Closing to New Investors: 50K - 100K. The Next Step: Please email me for an NDA. Upon sending me back your executed NDA, I will email you an account application. Once your account application is approved, I will provide you with the deposit information. Upon the receipt of your deposit, I will email you a confirmation which starts the accrual of your interests on the day of the confirmation email. One month prior to the maturity of your contract, you will receive an Option Email which will allow you to 1. Continue to invest; 2. Roll XXX amount into a program and withdraw YYY amount into your bank wire, or 3. Withdraw all and Deactivate your Account. ================================================== ========= Managed Account Program Offerings: updated 11/24/2006. Hello Everyone, many of you have expressed interest in my MA programs. Once you become a member by joining Loan Program 1 or Loan Program 2, you will have access to the following Managed Account (MA) offerings starting in January 2007: Conservative MA Program: Conservative Return but almost no equity loss risk: Annual return should be in the 40% - 60% / year range. It's the least stressful program for me and for investors. Minimum Entry: $2000 Commission: $30% Profit Sharing + 0.5 pip per lot. Medium Risk and Medium Return MA Program: Monthly Return should sit in the 10%-50% range. The risk of temporary equity loss unrealized is roughly 20% or so at any given day but would not exceed that. The temporary equity loss unrealized means that the fluctuations in the market have not yet been normalized from arbitrage and the trade positions are in a down cycle. Once the cycle changes for the positive to close in the positive range, you "realize" the gain by closing out the trade positions to book the profits. Minimum Entry: $2000. Commission: 30% Profit Sharing + 0.5 pip per lot. High Risk and High Return MA Program Upwards of 50%+/mo - 200%/mo. Leverage is optimal and the RISK of being margin-called exists weekly. Margin call isn't a bad thing really. It's just psychologically stressful when you see that you lost 75% of the equity temporarily and wonder whether you will ever recuperate this back. The answer is of course, yes but I don't recommend this program for regular investors. The stress will kill you if you don't have Conservative or Medium Programs as your psychological foundation. High Risk MA Program is currently in the testing stage as I am still trying to refine the risk to reward ratio and probably won't be rolled-out until summer 2007 after Loan Program 1 and Loan Program 2 investors receive their returns. Minimum Entry: $25000. Commission: 30% Profit Sharing + 0.5 pip per lot. MA Recovery Program Limited Offer: Up to 10 first round members joining before December 15th, 2006. You lost money in another Forex MA Program with someone else. You are able to prove the deposit amount, total withdrawal amount and the remaining equity amount. You apply for admission into the program with full knowledge that I won't charge you a profit sharing commission until your equity returns to 100% of your original amount (deposit - withdrawals). After your equity has returned to the original amount, you agree to let me trade your account for at least 6 months at a 40% profit sharing rate for all profits generated afterwards. You will not withdraw any fund within the initial 6-month profit-sharing period. The strategy for recovery is a hybrid of High Risk and Medium Return Strategies notated above and a Medium Return Strategy applies for the initial 6-month profit-sharing period. Minimum Entry: $1500. Commission Charged: 0.5 pip per lot. No profit-sharing commission until 100% Equity Recovery. 30% + 0.5 pip per lot Profit Sharing afterwards for a minimum of 6 months. ***Disclaimer: The risk and returns notated above may fluctuate hence the performance is not guaranteed. Investments may lose value. No personal or bank guarantee applies to MA programs offered. Customer Service: You can contact me via email directly at: sfgqhyip@hotmail.com for further questions and arrangements. 10月11日 October 11, 2006 UpdateEurope Trade Ltd has become profitable for me. I like the way they manage their payment and compounding system. I have decided to compound 100% for a month or so and see how it goes.
GoldBizz has become profitable for me this month. After my last withdrawal to be in profit (and received the fund in e-gold), I can't seem to access their website anymore. Maybe they are out of business.
NYSE Brokers is busted.
Silver Gate Forex Hedging had a disappointing month of profits in September at merely 2% return. Hopefully they will improve in October. The profit paid for my busted NYSE Brokers principal. So at least that stabilized my equity.
Rog's Program had some payout window changes. Understandable since the funds being transacted are increasing in size.
KA Online remains to be strong and stable. I am 4% of withdrawals away from being in profit with KA.
I haven't had a chance to look into other programs at the moment. However, as more e-gold frees up, I will start investing into Global Forex Club, Ibiza Traders, GigMutual and other programs.
Administrative Note:
I have sent in my DD documents certified by the district court to e-Gold to ensure that my e-gold account is completely verified. I am pre-empting the block of my e-gold account should some scammer falsify my identity or complain about my account for whatever reason it is.
Have a profitable month!
10月1日 October 1st 2006 UpdateSeptember has been an exciting month. Let me run through the programs:
Failed HYIPs:
Hawkins Capital stopped paying. What can I say? I like the way they are organized but I lost a few dollars. Next.
Offshore Club: Unable to fulfill funds due to financial instrument problems. Lost $130 or so. They may come back or they may not. I have already written this off.
FX Experts: The fund remains to be in trouble. No payment or news of refund has been released. I have also written this off.
Paying HYIPs:
KAOnline paid my weekly IDFs and my monthly AA. I am 4% away from being in profit.
Europe Trade is still 12% to go before I am in profit. It should happen sometimes this month.
Club FX Traders paid me some interests. The fund admin seems like he knows what he's doing.
Goldbizz is now 7% more to go to be in profit.
HYIP Pool keeps on paying my $0.01 everyday. It actually costs me more time to account for it than getting paid. I am 65% more to go to be in profit.
Payment Pending HYIPs:
Rog's Offer is the new fund that I am capitalizing from my interests. As of today, it is my 2nd largest fund right after KAOnline -- after I reinvested the profits from KAOnline towards Rog's Offer.
NYSE Brokers is supposed to pay me the principal + interests in two days. Let's see how that works out.
SGFH has dividends to be released on the 5th. We will see how well they traded this past month.
As of October 1st, the overall Return on the Original Principal Invested: +35%.
9月21日 3rd Week of September UpdatePooled MA Account: I have received much more interest for the Pooled MA Program this past week. It looks like we will have the Pooled MA Program up and running by November 1st. It's great that both Propellertop and Azbofin have volunteered to serve on the Board. Both of them have business management experience and I think they will do well on the Board. I will have to make this announcement next week for the investors.
HYIPs: I have pledged to put most of my HYIP interests to Rog's Program before December. So far, I am rather positive and confident of Rog's Program. Besides the failure of Hawkins Capital which I lost a few dollars, I am rather happy with all of the invested HYIPs this month. The beginning of October will prove to be an important time as some of the programs will reach the "In-Profit" Status.
As of today's writing, I have a 10% return on the original principal invested.
Issues regarding some HYIPs:
Silver Gate Forex Heding: This program was heavily invested within the past 30 days because Udachu's reputation backs this fund. I can't say that I like this program too much given the low-medium returns, principal lock-in period and the 30% management fee. However, I think this fund has great potential to be one of the few long-term winning Forex HYIP funds based on the trading style.
Rog's Program: This is probably the favorite program in the HYIP land right now. It has a lot to do with how Rog presents himself and how his past few years' involvement in the HYIP Land has gained him the credibility and trust.
KAOnline: I have sent Ben a private email suggesting to perform Due Diligence based on having an attorney or a CPA come in for a review and certify the relationships without disclosing the "trade secrets" or "contact information" of the parties involved in KAOnline's program. He said that he will push for it in October. Ben's reply can be read as a half-filled glass and investors can look at it positively or negatively depending on their tolerance of risk.
Offshoreclub: This program remains mysterious to most investors and will probably remain so for a while. We just know that it works and it continues to grow its infrastructure to be more robust every month.
Hawkins Capital: I wish this program would remain open for a little bit longer. I like the fact that they just send you the e-gold everyday and notate it with a memo as an XXth payment. It really makes my accounting way easier. Anyways, it's busted.
Club FX Trader: I have written PeterB, the admin Club FX Trader. This program is treated as a loan to him for 20%/mo interests. I am hoping that he will continue to do well with his trading.
NYSE Brokers: While I actually wrote this program off my books as a loss a few weeks ago, this program actually came back to life and should pay me full interests and the original principal in the beginning of October. Hopefully they will deliver.
HYIP Pool: This program pays but it sucks. Don't join. The admin never responds and all I ever wanted to do was to compound my $0.01 daily interest to my investment. The interests are low and the admin is not responsive. It's not worth the time for me to calculate the pennies in my excel spreadsheet.
Until next time, be profitable, everyone!
9月9日 1st Week of September ReportAll programs are paying and I am rather happy about the progress.
Overall, there is a 1%+ return to my portfolio this week.
I have also added Rog's Offer to my portfolio and look forward to putting in more money for the remainder of the quarter.
Total Return on Original Capital Invested: +8%.
9月3日 Thoughts of Ponzis in the HYIP WorldLately, I have received emails and messages from friends in the HYIP World concerning my investments made at certain funds that are considered ponzis. I appreciate the lookout. I know you all mean well.
I had almost 45 days of experience in HYIPs at present writing and in hindsight, this is probably one of the best education programs I have received this year. I was able to understand the thoughts and actions of scammers, ponzi-players, honest but failing entrepreneurs and desperate investors looking for golden opportunities. This is well worth the little bit of return in e-gold that I receive every month.
I have come to invest in HYIPs thinking that this is only a game -- but played with real money. I have tried investing in all types of programs trying to figure out how each "scam" works. Sure, it may cost me $1 - $20 per program but some of them actually turned out to be profitable for me.
Deception comes in many forms as the book "48 Laws of Power" points out. Investing in HYIPs can be profitable but savvy money management to divert the risks is what separates a winning investor from a losing investor. I am always out looking for new ponzis that try to present themselves as legitimate programs. Those are the ones that will train me and perhaps you to be better investors when we actually start betting our net worth and life savings on the line, and when our family's well-being depends on our investment decision abilities.
Read on. The HYIP World is full of traps and being able to come out on top requires a game player that is willing to take calculated risks. If I wanted to play safe, I would not have withdrawn some money from my 5%/year CitiBank CD. Enjoy the ride while my e-gold lasts. :P 9月2日 HYIP August 2006: Performance ResultsOverall, this has been a very chaotic yet profitable month.
For starters, 4 of the programs that I invested went out of business or are claiming business difficulties, etc. They are: Real-Fund, Fast-Invest, FX Experts, and GreenPoint Club.
The program failure that surprised everyone is probably FX Experts. It is the one with the highest amount of Due Diligence performed and recorded yet the administrator claims that there were some huge trade losses that made the program unable to pay interests or withdrawals. The admin announced that he needs until November to bounce the fund position back to normal to pay the investors. Many of us have written this off our books, including me yet I'd definitely welcome his repayment in November.
The program that brings to my personal satisfaction is Fast Invest. I actually made profits in the program before it went out of business. So I am rather happy with the money management strategy that I applied to minimize the risks with the fund.
Performing funds such as KA Online, Offshore Club, Europe Trade Ltd., Goldbizz, HYIP Pool and Hawkins Capital have been paying very consistently with no delays or problems.
NYSE Brokers is a questionable fund that has been on the radar in some public forums. My minimal investment with them was a risky one but was worth a try to diversify back in August. In hindsight, I would not have placed money into this fund if I knew what I know now.
I am rather excited about Silver Gate Forex Hedging. It is a fund that is backed by Udachu which is one of the most successful yet secretive HYIP program administrators in the industry. If you would like to receive a referral code to be able to create an account with them, contact me.
As of today the interests received from all programs have been used to fund my new Silver Gate Forex Hedging account and also to recapitalize Offshore Club.
My HYIP fund performance for August was great. I have managed to pull out of the red. Now my portfolio is sitting at +7% return on the Original Capital Invested.
I look forward to September being a great month.
8月26日 End of August ReportI have been doing a lot more research into HYIPs lately and have become more familar with some of the characteristics of the programs.
I became in-profit (principal withdrawn and then some more) with Fast Invest. Now I am just investing in them with some of my profits made from them. With my capital and profit returned from Fast Invest, I finally put some money into FX Experts -- it is supposed to be the most verified HYIP program on the internet today.
I have been actively participating in KAOnline and Offshore Club investor discussions. In the meantime, I have been researching programs similar to FX Experts.
Despite some competing negative postings to Europe Trade Ltd., I was able to receive interests from them as of yesterday. All of my other invested funds have been paying to my e-gold account so this has been a rather good week.
Next week (when September 1st starts) will be a rather important week for me since some large investments are coming due with interests payable to me. Hopefully, these interests will pull me out of the current negative return status.
At the present writing, my portfolio has increased by a few more %. Now it is sitting at roughly -15.5% return of the total I have put into HYIPs to start 6 weeks ago. I will be diversifying more into lower-return but verified trading programs recommended by some other new investor friends that I met this month.
Until the next post, stay profitable, my friends.
8月15日 August 2006 Mid-Month ReportIn the past two weeks, I sourced additional HYIPs. There were two that went out of business: Real Fund and Green Point Club.
The trouble with Real Fund was that some attorney sued it for the high % of principal withdrawal fee, according to how
I best understood it from the forums. I actually started to like Real Fund myself because they paid directly to my e-gold account
without the hassle of having to withdraw the money manually. This is not to mention that Real Fund was ranked as the #1 fund by
Hyip Investment.
The trouble with Green Point Club was that it was paying 110% including principal payout every two days. I knew that it was
way too hard for the program to keep up so I was playing with the minimum deposit of $1.
Despite these two losses, I have seen an overall return of -18% -- a 5% improvement from the end of July's overall -23+%. Hopefully, once the additional interests are paid from some of the surviving programs, I can become profitable by the beginning of next month.
8月3日 August's New BeginningAfter a short mourning period for my losses in both "yen4gold" and "e-gold investment" scam HYIPs, I decided to get right back to action.
I took the interests earned from kaonline and offshore club and separated them into smaller chunks to invest in some new HYIPs. I have to say that I am grateful that both KAONLINE and OFfshore Club are still around and operating. They have become my new trusted source of income-generating base that allows me to take risks with the interests earned from them.
Although KAOnline had some technical issues this week with some DDOS attacks, the admin Benjamin was very helpful in getting the problems resolved. I'd highly recommend KAOnline to people venturing into the HYIP space. (Hopefully, next month, I won't be crying over this.)
With some due diligence and risk assessment performed and based on the available interest capital that I had on hand, I diversified into the following HYIPs:
Real Fund
NYSE Brokers
Europe Trade Ltd.
Fast Invest
GoldBizz
The test spends should help me get a better idea of their operations. 7月30日 HYIP July 2006: Performance ResultsMade 4 deals in July and 2 turned out to be scams.
Looking on the bright side so far, I guess that's a 50-50 hit rate.
The two that were scams had the following characteristics:
"e-gold-invest" was found on the Google PPC system. I guess it makes sense that it was a scam because how could web admins afford to play on the Google PPC system unless they were selling something with high profits to pay for the advertising? In this case, they are paying for your clicks funded by your own money.
"Yen4Gold" turned out to be a complete disappointement. For the time that the web admin spent on responding to people and creating the personal relationships, it just seemed that it wasn't worth the time to run so fast. Maybe I was still applying the cost of customer service in the US to the overall HYIP equation. Some of the characteristics of scam included: no due diligence (DD) or track record offered to the public for review. There were some associations of the web admin to another crazy con artist for another fund. I really do think that a proper level of due diligence is required before investing.
I'd try to diversify and invest in other ones but I think I will let August run on the two remaining HYIPs and compound the interests for a while for an withdrawal in September or October. That'd recuperate my loss from July and give me some time to research and perform DD on a few other funds.
The key is diversification and I guess July was a month that I hurried into deals without thinking.
Total Performance: Return on the Original Capital was -23%.
7月16日 Genesis of SFGQ HYIP Back in June 2006, I was trying to figure out a way to raise capital really quickly in small amounts for my entrepreneur friend who needed cash to expand. Doesn't it ever occur to you that if you received $10 from 100,000 people, you would have $1 million?Anyways, that brought me to do some research online and I found this world of HYIP (High Yield Internet Program) investments.
So it works like this: you create an e-gold account or some other type of payment account that doesn't let you run chargebacks. Chargebacks, for those of you that are not familiar with them, are the ultimate Achille's Heel to internet entrepreneurs because you can fulfill a service or a shipment and the customer (fraudulent or not), can call the credit card company and claim that she never received the promised service or shipment from you. In most cases, the merchant loses. In case of fraud, the merchant loses as well.
Anyways, the bottom line is that a payment system like e-gold does not allow customers to place chargebacks so the receivers of the fund do not have to deal with potential losses. On the flipside, should a customer pay a merchant and the merchant does not deliver, the customer loses. In a nutshell, the e-gold payment system allows risky financial investments to take place as if an investor hands you cash in hand and prays that you will be around to pay the investor back.
If so risky, you ask, why would investors do it? If you ever walk down to the heart of Chinatown in San Francisco (the park) or some parts of Brooklyn in New York, you will find loan sharks working on 6 points per week loans. Loan sharks are going on good faith that you, absolutely worthless in credit, will somehow be able to honor repayment arrangements at 6% per week. You, needing the money so badly for whatever reason it is, consider the 6% per week to be negligible so you borrow the money. In the case of HYIPs, the same return is given to you as an investor -- yes, you never dreamed of being a loan shark but you become one by investing in HYIPs except that you don't have a gang going after the HYIP admins and in most cases, you don't even know which part of the world they live in. To entice you into signing up on these HYIP investment deals, the returns, I have seen, can go up to 5% per day. Go ahead and do some math -- that's 365 times the interest from CDs you would get from your favorite local bank in the US.
Well, I have stated the significance of this HYIP industry. If so great, how come the whole world hasn't jumped on this? Well, the world has, actually. If you do some research online, you will find investors small or large talking about HYIPs. At the same time, most of these HYIPs are just scams. I wouldn't even be surprised that some of the ones that I have invested will disappear tomorrow and I will never see my money again.
So why do it? I think it's fun and I am playing with money that I could lose. If you played your cards correctly by diversifying, you might even be able to make some money despite the occassional disapperances of your trusted HYIP admins that are living in some tax havens somewhere sipping on margarita spending your hard-earned money -- probably $20 to $50 USD that you invested so please just cut down on a few Starbucks runs and you will live through it.
Anyways, if you haven't done so yet, open an egold account. You don't even need to put in money yet -- just look at the interface and admire the universal currency that will someday replace the silly foreign exchanges (FOREX, SPOT, etc.) from which our favorite HYIPs ironically make their money.
Cheers!
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