HYIP Investing: The Strategy
By Craig Czajka
People often ask me what is HYIP investing and why is it so popular? HYIP investing is called High Yield Investment Program and is an investment in high yield return opportunities, whether it is the Forex market or a bigger
investment program. It is so popular because you have the potential of making a very good rate of return on your capital; much better than a bank or mutual fund investment.
Although these programs can be very profitable they are also very risky: the higher the risk the higher the profit. You always need to understand that you could lose your capital at anytime. Investments bust or companies go under, anything can happen in the world of HYIP investment, including scams.
Scams do take place in the HYIP arena with the attraction of a quick buck. The anonymous nature of the Internet adds to this problem. The old saying goes if it is too good to be true then it most likely is.
Always do your DD (Due Diligence) on any program that you plan to invest with. It does not take long to do backgrounds on these sites, talk to others who are using them and check out HYIP monitoring sites for information. If in your gut you have a good feeling after doing all your DD, then you probably have a good program.
The HYIP investment strategy can be tricky, with all the dollar signs in your eyes. A good strategy for investing is to spread your money around to several different programs instead of putting it all in one program. The
potential for losing all programs is much lower than one program going under. Basically, do not put all of your eggs in one basket.
Secondly, do not get over excited about a paying opportunity. What do I mean by this, well just because it is paying well do not sink all your capital into this right away. Be patient. Work the strategy and it will pay off for you. Stay diversified; watch your programs and you will see a good return in the long run.
Always take your initial capital back out. If you have invested 100 dollars and you make 5% per week you will earn 5 dollars for that week. Do not reinvest it; always take
out your earnings until you get back your original capital. Once you have your original capital back, you can reinvest your earnings or compound your earnings.
HYIP investing can be a very good supplemental investment if you stay patient, be smart about your investments and diversify your capital. Good luck and happy HYIPing.
About the Author
This article has been published by UltimateHYIP, a leader in HYIP monitoring. Visit us at http://www.ultimatehyip.net
Article Source: http://www.simplysearch4it.com/article/41408.html
|If you wish to add the above article to your website or newsletters then please include the "Article Source: http://www.simplysearch4it.com/article/41408.html" as shown above and make it hyperlinked.|