Where to invest and how to do it?

In our time, hard enough to find a good project, which you can invest your money and be sure that they not only continue, but preumnozhatsya. There are many different systems, which can be invested: Funds Hyppa, PAMM-accounts, the work of private traders, etc. Consider some of these details.

Funds

In most cases, the funds offer a stable income (5-15% per month). They guarantee no loss of either or the conditions limit losses due to the use of multiple projects and to obtain more favorable terms.

It would seem that the safest place to invest: put-and-forget, interest only shoot, but still there are precedents. Some of our investors have lost all the funds that were invested in funds with an average profitability of 10%. The administration explained the incident of accidents and refused to return the lost capital.

How could this happen? Difficult question and the explanation may be many reasons, from the banal deception (the Fund may be Hyppa) to bankruptcy (with the incorrect distribution of funds to other projects).

However, many funds are actually relatively safe place to invest, however, should not believe in 100% assurance of the absence of investment losses. The higher yield of the Fund, the more likely it is hype. It is hoped that the Foundation will be present and in good faith.

HYIP

HYIP (Pyramid) - is a fraudulent project, which claims to be a mutual fund with high returns. Typically, hype-projects are financial pyramid who pay high interest rates due to new revenue and attract more participants. Thus, there is a flow of new funds.

Once the flow of money stops or it is not enough to meet current obligations, hype, and closes all payments cease. You should refrain from investing in projects such as this is likely to result in complete loss of your funds.

Private traders

Consider investing in the work of the private trader. So, you have accumulated a certain amount of money, say $ 500, and want to put it profitable. Most of the serious management of such a small amount or do not want to deal with, or establish a distribution of profits, at best, 50 to 50, which is not a good condition for the investor. Private traders are able to guarantee compliance with the limit of a certain percentage of losses and profits, but the execution of limit losses depends on the integrity trader.

Now on to the steady profits in the market FOREX. Many investors think that stability means a certain percentage of profit per month, for example, 20%, and demand that the trader sought to this figure. Unfortunately, some traders are amenable to the onslaught from the side of investors and trying to build an even schedule. Such actions violate the money management and strategy of the trader, so draining the deposit is only a matter of time.

Under unfavorable conditions for the profit of the strategy may not be for months, but then jumps up to 30-50%. In the long term (6-12 months) it is possible to obtain the planned profit with some variations in the value of what either side.

PAMM-accounts

The most successful place to invest at a sufficient deposit is PAMM-accounts. The more money the more advantageous offer, you can (very important) and place the funds from several Governors. A large number of accounts will give more stable results.

Of course, you need to pay attention to factors such as subsidence, the capital of the control (LOC), the Sharpe ratio, the recovery factor, etc. Keep in mind that when investing in the PAMM or private traders are always important to consider the ratio of profit / risk.

When choosing an account is to abandon young (6 months) PAMM and Traders, which show profits over 100% in a month. These figures indicate a high degree of risk and a quick loss of deposit. It is necessary to select more than one conservative (up to 300% per year) of PAMM-accounts with the most advantageous offers.

More correct is to invest in the PAMM-account with the profitability of 150% per year on offer to the distribution of profits 80% and 20% of the investor to the trader than, for example, due to the distribution of 50% to 50% with the overall profitability of 240% per year. Having invested in these accounts to $ 1,000, you get a net profit of $ 1200 on both accounts. Differences in income does not, however, the second account to some extent, and the likelihood of aggressive investment losses higher. In this case, the ratio of profits to investors / risk in the first run will be much higher.