Look at these returns. Ance Finance.com 6% hourly for 21 hours, 135% after one day, 75% daily for 2 days, 175% after 2 days.
ChokoMoney 135% after 7 days, $3,000 maximum deposit. Wow!
These high yield investment programs (HYIPs) are promising more than what you could make on a lucky day gambling in Vegas. This Vegas Guide and Gaming Tips website suggests you can get about:
- 1.4% playing craps (drops to about .7% with odds bets)
- 1.5% playing blackjack
- 5.3% playing Roulette.
Some of those percentages are similar to the daily returns that some of the HYIP schemes promise. Do you think you could beat the house in Vegas every day? No? Do you believe the HYIPs can beat the house every day? Neither do I. The HYIPs promise unbelievable returns that are, in my opinion, complete fiction. (HYIPs are according to Wikipedia, a “type of Ponzi scheme.)
What’s the difference between gambling in Vegas and investing in a HYIP scheme? In Vegas, you know the odds are stacked against you, but at least you have the chance of winning and having some fun in Vegas. With a Ponzi scheme, you stand to lose everything when the scheme collapses. And that is not fun.
Last week we talked about the new fee disclosure, including specifically disclosure for purchases of mutual funds that came into effect on July 15, 2014, under the Client Relationship Model 2. New disclosure for purchasers of debt securities came into effect at the same time. If you are buying or selling a debt security, such […]