Thursday, March 1, 2007

How HYIP Admins Use Forex to Entice Investors

Have you noticed the new high yield investment programs (HYIP) that started lately? What is common among them? Where do they invest the funds? Is their rate of return reasonable?
Before, HYIP investors do not believe in any crap that HYIP Admins invest their funds in forex. It is because the returns are too high and payments are done on daily basis. Stil, investors put their money in the program although they believe the success of the program will depend on how many members will join after them.

Recently, trends have change. More and more HYIP Admins are offering lower returns on longer periods. They stay alive for some months offering lower rates. They do not offer returns on weekends since there is no trading on weekends. They let investors believe that they do invest in forex. The longer they keep on paying, the more investors will trust the program. Small returns and longer period of payments because of forex activity is an attractive option for many investors.

Do they really invest in forex? Unless a third verifiable party or myself will see their trading accounts, I'd rather play more safely. The longer the program is running, the more members are coming in. Considering the low rates they are offering, they can sustain the program for many months. The rate of deposits are higher than the returns they are paying the investors. They can still be gone in an instant if they already acquired enough deposits.

As investors especially the test spenders, do not forget to include the e-currency charges for daily payments. Small, regular payments means higher cumulative charges than a few bigger payments. The returns you will receive might be lesser than what you expected.

When you invest in HYIP, do your due diligence. Be wise not to believe that HYIP Admins do invest in forex.

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