Emotions and your Investment

People tend to get greedy when a program pays out a
few times. And because of that I want to tell you that your
emotions are the number one cause of money loss.

Please look back on what you’ve done before, when you lost
money. In almost every case people got filled with the
desire for money. They lost control of their emotions and
just reinvested. That’s what makes HYIPs so incredibly
attractive.

A good friend of mine once told me:

“Compounding is the driving factor behind investors, while
it’s the biggest cause of scams”.

And that’s completely true, compounding in HYIPs really is a
factor of loss. It’s very bad for the internal economy,
because if no new investments come – only reinvestments –
the percentage of real money drops enormously.

Therefor a program that doesn’t allow reinvesting from the
account balance, and doesn’t allow compounding, is the
easiest to predict. With the statistics most of the time
posted at the homepage, you can see when the total withdrawn
gets to close to the total deposited.

Maybe you’ve seen HYIPs played as games. The admins tell
upfront it’s ran as a ponzi, and most of the time they state
the ‘round’ will end when the total withdrawn has reached
80% of the total deposited. That’s what I like to call the
“critical internal economical state”.

When investing in programs that don’t tell this upfront,
it’s safe to invest untill it reaches 60to 70 percent of
total deposited. Because most programs, over 90% of them
all, close at 80 percent or higher – you’re still in time to
request a withdrawal and get it honored.

Do keep in mind to look at all the statistics available. You
can easily see if a program is paying when looking at the
Paid Out section. If you see all round amounts, like 100, 60
and 50 it’s fake. Investors never leave a few cents in. No,
they’re greedy and want every penny!