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high-yield investment program

 

A high yield investment program (in English, High-Yield Investment Program or HYIP) is, as its name suggests, an investment program that promises a very high efficiency, much higher than the usual investment can provide. Most of these programs are scams.

 

Usually found on the Internet, but they are also available through financial advisors. Financial advisors who offer these programs are often fraudsters who swindle the uninformed and naive customers.

 

On the Internet, new high yield investment programs popping up every day. These programs offer plans to invest money in a given period with an interest rate which usually remains fixed. According to the program, the subscriber receives daily, weekly or monthly interest he may withdraw at any time.

High yield investment programs do not have good reputation because, every day, scams are revealed

about such programs (which operate most often in the form of Ponzi schemes). Still, some Many of these

programs come to take several months or even years.

Main characteristics of most of these programs are:     

 

 - the promise of high returns (usually 0.5% to 5% per day on the site Globalexmoney.com, fraudsters have even promised a return of 900% for 8 days!)     

 - the opportunity to invest very small amounts (sometimes less than $ 10);    

 -  the ability to make transfers using electronic payment sites (often through offshore financial institution);     

domiciliation in a tax haven;     

 - the claim that the funds are invested in stock markets or mostly on the currency market (eg forex).

In short

 

The high yield investment programs are not just related to the web. This term refers to any investment bringing income more than the deposit account with the standard rates of 4-5% per year.

 

There are many HYIP offline, they are all controlled by registered companies and bring stable high income. In general the limit of the original amount or the minimum investment to participate in the project amounts to 500 000 $ 10 million. The private investor who has no great savings is excluded from participation in investment programs high yield offline.

 

For ordinary people the only solution is an online HYIP. Unlike investment programs high yield offline Web projects are typically much less transparent. Often the participants do not know anything about the organizers and the registered office of the company. The main sources of off-line HYIP are the games at the stock exchange, the marketing of real estate and investments in FOREX.

 

Online HYIP rarely provide real information about their business

 

this is why the income sources may be very different; note that it is often

impossible to verify this information. Often the information is secret not to hide the customers but

in order to preserve their own expertise. Competitive market

HYIP is quite fierce so the company that can offer the most reasonable way control investment is more

likely to succeed.

 

 

Depending on the time of payment the interests of all HYIP online (or just HYIP) can be divided into daily, weekly or monthly. Daily HYIP make payments of 1-7% per day; weekly - 7-50%; and monthly - 20-200%.

 

The principle of working with HYIP is very simple. You register in the system, open an account in the international system of electronic payment and invest some money in the project. The next day when the money invested will have started making profits, interest mentioned will be transferred to your account.

 

Summarizing all that we have mentioned above we have the following diagram:

 

The heads of programs collect deposits from private investors who do not have enough money to participate in investment projects high efficiency offline. Then, using the well-greased patterns, they invest them profitably and share some of the profits among investors. Actually HYIP is a mutually beneficial forms of cooperation more profitable for investors. With the accumulation of capital money that was isolated from the serious economic profits made process.

Investments in the Internet

 

There are many options for capital investing. You can deposit money in a bank, buy stock of some well-known company or buy a work of art or a building. However, many potential private investors do not have enough money to make an effective investment: it is not easy to find ways for real estate, art and shares of larger companies. The interests of moderate sums will be ridiculous.

 

What will make a private investor ?

 

It is isolated '' the big game ', and small investments do not guarantee that the migraines and loss of time. thus HYIP (High Yield Income Programs - Investment Programs High Yield) intervenes to assist potential investors. Using special Internet services you invest a certain amount of money (usually the limit of the original amount is moderate) and then for a period as you get interest on your investissement.L'investisseur recovers quickly its initial capital and it begins to make a profit.

 

Are HYIP profitable ?

 

Yes it's sure. The private investor has almost no possibility to effectively invest small amount of money and regularly get a good profit. An individual who does not have enough financial means, reputation, serious business partners, working schemes and contacts. It is almost completely isolated from serious investment activity and '' the great game '' market of the stock exchange. By taking part in HYIP the private investor gets attached to a kind of agent who has the knowledge and opportunities and making investments in its place.

 

 

 

 

 

 

 

 

Is HYIP participation risky ?

 

Yes naturally. Like any other investment activity in high yield investment programs are a risky business. Nobody will ever guarantee that the money put into the project by the organizers HYIP actually bring the maximum profit. However, the qualified specialists developing high performance programs still reinsure. Part of the means is spent on financial security instruments that guarantee investors the security of their investments.

 

The schemes allow participants developed HYIP to get the maximum income that private investors may not get otherwise.

 

Ponzi: How to avoid fraud ?

 

This problem concerns almost all participants of investment projects high rendement.Car details HYIP

not intend under any transparency of transactions economic dishonest dealers organize false projects

and make them seem to real investment programs and after collecting client money stop suddenly their

activité.Une of the most popular forms of deceit is Ponzi. The Ponzi is a classic financial pyramid where

the profit is at the expense of investments new project participants. Such projects are like a snake eating

its own tail. Up to a point it seems that the project is stable since the investments are made by associés.

Cependant, this impression is false. At some point comes the stagnation, Associated stop joining the

project and the pyramid breaks down. However, sometimes the Founders do not expect this phase and

get lost with all money they have accumulated. In general, clients learn it when they stop getting regular

interests on their accounts.

 

 

How can we distinguish Ponzi real HYIP ?

 

There are several signs indirectly indicating the project may be fraudulent. First they are great daily payments. If you are promised to pay 30% per day think how the founders may provide such profitability. Second, they are very large production taxes. Serious projects are always open for mutually beneficial cooperation; however, their main goal is to make profits using effective investment. That is why if you are offered more than 10% for sponsoring new members you should think if the clients are the only source of income. And in fact it is the fake Web site and the content stolen from other resources.

 

Organizers of Ponzi projects know in advance that the program will be closed in a certain time and pay no attention to creating a functional design of the design and updating of content. There is still a widespread form of fraud are so-called "Golden Games". It is a kind of miniature Ponzi introduced just for a few days or weeks. The only difference from Ponzi projects is that they initially are positioned as financial pyramids. Users invest money and then, if they manage to leave time program they will profit if they lose all the money invested. There are several variants "golden games" but these games are reduced to the game speed.

 

In any case these programs have any relation to serious HYIP projects. Some people participate willingly "golden games" and even Ponzi projects. Of course, such projects can quickly make large profits, however, we must not forget how quickly they can lead you to bankruptcy. Moreover, the ability to predict when you should leave the program helps, but not always. Often friends and organizers of knowledge involved in such projects as stool pigeons; certainly it is they who make profits because they are aware of any internal information. When participating in such programs the level of risk is much higher than in serious HYIP, and there is unlikely to make a profit. If you have finally decided to tempt fate in Ponzi, remember that even if you're lucky your profit will be at the expense of the bankruptcy of others.

 

Do not forget that the financial pyramids are illegal and their creators get a sever punishment from the taxman. In case you choose an interesting project and fear it is a pyramid, carefully study the conditions put forward by the leaders of the program.

 

Analyze the conditions and compare the figures with questionable evidence indicated previously. Start making serious investments after making sure that the project is safe: at first invest a small sum. And later when you are sure that the interests are regularly transferred to your account invest the rest.

Investing in HYIP

 

How the profit is formed ?

 

Many prospective participants of high yield investment projects are wondering where the organizers take such sums of money for which they can regularly pay interest. Definitely income does not come from nowhere. In serious HYIP many high-yield investment projects are developed and carried out by experienced economists and professionals. In this way the main sources of income of high yield investment programs are:

 

1. Investments in FOREX market.

2. Trading of stock of different companies on international currency exchanges.

3. Participation in different commercial sweepstakes.

4. Investments in high-yield business.

5 Import and export of scarce goods.

 

by accumulating money of the participants chiefs programs use working capital quality.

Then by investing in high-yield projects and actively using the off-shore status they are of

non-taxable. As the result there are sums to maintain the activity of HYIP but also to pay

interest to investors as well as for further development of the program.

 

People distant from complex economic processes may think it is unreal that over a month the investment amount can double or even triple. An experienced investor always may predict which investment will bring profit and which will be in deficit. Having wide knowledge and serious experience he can easily make profits through price fluctuations to some goods. Many investors have made huge fortunes on fluctuations in exchange rates.

 

The trader who is aware of the exchange market may double the invested capital within hours. Suppose the trader $ 100 and it goes to the player falling euro and rising dollar. The trader takes the credit without interest for a sum of $ 9900 and sells for $ 10,000. Then he bought the euro at 0.9755 exchange rate and in a few hours resells it at the rate 0.9845. After paying $ 9,900 to the dealer net income of the investor amounts to $ 90. Ie deposit increased by 90% less than 24 hours. Certainly for an inexperienced investor an attempt to play to the exchange rate fluctuations may end up a financial meltdown. Instead of the expected profit he will experience considerable losses.

 

In fact the role of all high yield investment programs is to create some initial fund of money constituting investor deposits and then using various economic schemes to distribute it among profitable projects. During HYIP there is no industrial process, project leaders manage your capital but help you to multiply it. HYIP is an agent between a private investor who does not have possibilities and knowledge to effectively play on the market fluctuations and economic formations high efficiency. Naturally, besides the exchange rate play there are other effective methods to invest money. For example, buying securities of organizations which work is stable in the developing countries.

 

Such instruments are risky but the risk is compensated by their high profitability. Besides the HYIP leaders prefer to reinsure and invest part of the funds in securities of highly reliable companies. HYIP will never lie for clients because high yield investment programs are an ideal example of mutually beneficial cooperation. Having effectively invested capital, program organizers get enough income to pay interest to investors and have profit. For example the speed of the flow of capital to the stock exchange FOREX is much higher than that of an ordinary economic activity.

 

Almost 24 hours one can perform several iterations that provide daily or weekly payments. However, you should not forget that the majority of the organizers prefer to keep secret the information on the specific sources of income fearing unfair competition. That is why very often the high yield investment programs are not absolutely transparent.

 

Almost 24 hours one can perform several iterations that provide daily or weekly payments. However, you should not forget that the majority of the organizers prefer to keep secret the information on the specific sources of income fearing unfair competition. That is why very often the high yield investment programs are not absolutely transparents.Cependant, it does not influence in any way the regularity of payments and '' credit '' program. The heads of high-yield investment programs are fully aware of the mutually beneficial cooperation and efficiency they will not risk the trust of their investors.

The risks

 

For a private investor all investment alternatives without the risks are virtually closed. Basically it means that if someone wants to invest money and soon get high incomes will be forced to risk anyway. Of course we can deposit your money in the account at a bank, but the private investor rarely has a large initial sum to make a fortune in bank interest.

 

That is why the only solution is to invest your money in risky projects high efficiency. You should always be careful about the programs related to the risk. First we must make every effort not to fall on a false project or financial pyramid. Before starting an investment activity you must carefully study all the clues of the program. It should be noted that the situation is complicated because even the trustworthy projects fail sometimes. For example, if the organizers were not able to properly present the program or played without success in forex market who risked all their accumulated funds.

 

There is a series of patterns and characteristics, the study provides an opportunity

the private investor to minimize the risks. Let's examine them. The nature of high

yield investment programs is that they one day stop their activity. The pyramids fail

carrying away Investments of all customers, HYIP who paid their investors stop their

activity. Certainly, all "honest" projects are developed competently and are oriented

for a period Maximum operating. But often closing programs is linked to objective

economic reasons that are extremely difficult overcome. A standard life cycle of

investment projects high performance behaves four periods: a return period of

investment, a period of growth, period of saturation and a period of decline.

 

Let's discuss in more detail. A period of return on investment is the birth of the project. The creators of any high yield investment project must invest a certain amount of money. First it is necessary to create a good functional website, to develop its content, check in pay systems popularity ratings and advertising. All this has a price and as the project does not benefit this period is still in deficit. We can not estimate the reliability based on the results of this project period; however, it may be some indirect signs that the project is fraudulent.

 

For example if the website is hosted free of charge or if all content is stolen from another site, then it may mean that the organizer is indifferent with respect to the future of the project and does that accumulating money then stop the program. A period of growth is the beginning of the project operation. During this period the first investors appear and try to attract additional customers to get the referral payments. At some point the project exceeds the break-even point and starts to make real profits d. The success of the project in this period depends on the technologies used to attract customers. A direct sign that the organizers plan maintain the program in the future are of various strategic actions, for example, such an additional amount transferred to the account of everyone who is registered in the project. A period of saturation is the most stable period in HYIP functioning.

 

During this period we can see stable growth, the program does maximum profits and customers

regularly affect their interests. A period of decline is a key step to the next activity in the life of

program. It is characterized by the declining interest in the project; the flood of new investments

reduced to nothing and resulted in the development the program stops. All false projects stop their

activity in a few days customers are not getting their interests and projects disappear without traces.

The creators of serious programs undertake series of shares tactics to get the project stagnation.

 

Having analyzed the behavior of HYIP during the period of decline one can make a conclusion about investment prospects in the draft. If the program has passed the crisis, continues to operate and make a profit for its investors, you can be sure the project: it is oriented towards a mutually beneficial cooperation. You can set the period of decline by analyzing the dynamics of the advertising business. Just as the interests of users he falls, the project organizers are making great propaganda activity: they write letters to program participants, register in new catalogs, placing messages on forums and in guest books. Naturally, the investor must aspire to discover the perspectives of the project before it reaches crisis point. The successful passage of the period of decline may be a signal for those who want to join the program at its new stage.

 

And how should act those who plan to participate in the program from the beginning ?

 

These investors must make a detailed analysis of the selected HYIP from the beginning of its existence and invest the money as long as the program is safe.

Making the First Investment

 

So you made a necessary research, a preliminary estimate of the reliability of the project and you are ready to invest your money. But before you invest your savings in a HYIP, are you willing to risk your capital.

 

Do you regret your choice ? Do not prefer to buy something for your household ?

 

As we mentioned before, all high yield investment programs are associated with considerable risk and once having made a detailed analysis of the project you are interested it will not guarantee the reliability of the program. Remember the main rule about HYIP: never invest all your money into one project. Develop your investment scheme for several investment projects high efficiency simultaneously. Even the most serious project can be closed abruptly without considering several existing pyramids. Always a powerful asset in your game. Even if a project stops you will get three or four others whose benefit may reimburse losses and even make a profit.

 

By participating in several programs at the same time you actually make against the loss of money. It is very difficult to imagine all programs analysis of which showed a seriousness of intentions of the organizers on their sudden closure. By making your investment consider the fact the program may fail and act in such a way that you get your income in all cases. Try to minimize the risk. In the most serious interest programs are due to open your account in electronic payment system round the clock.

 

In addition, reliable projects allow for an automatic re-investment, which significantly increases your profit. It is very easy to count your provisional income. For example, you invested a certain amount to 2% interest in an investment project for a period of 365 days. This means that without the re-investment you will repay your deposit in 55 days and then make profit. This way to the end of that period your income will be 720%. If you divide your capital into parts and each part is invested in different investment programs high yield, even if half of the programs will fail or fraud you will get your benefit anyway.

 

Remember to re-assure you in all cases, even if you are 99% sure of the project. Even if you were promised mountains of gold, even if all your friends and acquaintances recommend investing the maximum into the program - always divide your capital and invest in the different programs. Even the most honest HYIP if it fails to overcome a crisis stage may fail. There is still a rule that any novice investor must strictly follow: never risk the money you are afraid to lose.

Following the investment campaign

 

Another important rule for private investor says: do not invest the money earned in the same program. Every day for the project is a new step to its inevitable closure. As we have said before even the most reliable projects eventually fold up shop. When the material resources of high yield investment programs run out they close. The infinite extension of the project is impossible. It is an axiom. That's why you should invest the money earned in the most efficient way possible. In general, the neglect of this rule is the result of financial losses. Many private investors get 'greedy' and once having obtained some income they invest several times. And they do it till the project exhausts all its possibilities.

 

As a result the investor loses money; a less harm would he managed to repay its initial investment. The distribution of income among new programs is the most effective way to minimize the risk. Study of new programs, make their detailed analysis, select the most obvious and the most honest and then invest there-profits. In case your initial program closes you will always have the investments in other programs and you can pay back the invested money and making profits. The reaction of investors is to follow the beaten track by consistent earnings in the same project but this does not correspond to economic reality.

 

The project eventually will inevitably be closed. You must do all you can to the discontinuation of the program you do minimal damage. There is no reason to take part in HYIP the private investors who wish to become rich without risking anything. The yield high incomes is always associated with high risk. The participants of high yield investment programs should not aspire to avoid the risk because it is impossible. But they must make every effort to minimize. You can minimize it only by investing your money in different projects. Invest in different projects and distribute the profits earned from new programs even if you are just beginning to work with HYIP. There is no reason for beginners all their capital at risk. Many programs have a limited initial sum amounting to $ 1, $ 10 or $ 100.

First understand the functioning of the Investment Programs High return by investing a little.

And only when you feel comfortable in the world of HYIP and you learn how to invest and re-invest

money correctly, you can pass "the great game". Remember that that risk nothing gained. However,

remember that he who risk much can "meet in shorts. "Follow all rules for private investors and you

will succeed. A reasonable risk is the foundation for survival in the variable and unpredictable world

high-yield investment programs.

HYIPS

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