HYIP Pools

Updated: 07/28/2006 05:57
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This is one of the most popular types of investment programs among investors. It is almost perfect and it is much close to "serious investment" in HYIP sphere. But at the same time, it doesn't dominate, and programs with such organization also pass away, close and disappear. This article will explain newbies and experienced investors what POOLS are, how they work, what their weak and strong sides are.

The essence of such programs is clear by its name. This means organization of the fund with a joint capital for joint investment and getting joint benefit. This benefit is divided according to deposit amount. Everything is simple. However, it is not really simple to organize it, because…

… something needed to be done with the funds received as the result of fund establishing. In fact, not “something”, but some concrete actions, directed to receiving the profit. Most often pool is created for some definite purpose. This is the only pledge of receiving funds. And the purpose is definite: it means investing in project, when its minimum doesn't allow average user to make a deposit. He may face the following problems on his way: lack of necessary sum, which is usually equal to $1000.

Accordingly, if 10 investors will put together their $100, they will receive, for instance, 20% profit monthly. 20% will be equal to $200, or $20 for each participant. Each of these people receive $20, as you see.

WHAT IS ORGANIZER'S BENEFIT?
Of course, interests. In fact, in the example, described above, you won't get either 20% or $20. Most probably, you will receive $18, which will be an adequate payment for your help in organizing the process. And this organization generally means operating funds. Pool, or fund administrator should find some fund, keep relations with it etc. This demands much work, and such amount of profit is deserved.

WHAT IS INVESTOR'S BENEFIT?
At first, availability. Many programs, making up a portfolio for such programs, are just not affordable for an average investor. Except for a chance to participate in such programs, he receives a higher level of process organization, and higher process level, accordingly. Here I also mean risk, which is comparatively low in such programs, and I also mean that investor usually doesn't need to do anything. :)

WHAT THE DIFFICULTIES ARE?
However, usual details are also valid. For instance, the fact that such programs are no less risky than HYIP. In general, of course. Noone knows a pool to be here for just a few years. FeederFund is the most famous, and it is private. Accordingly, they are not as ideal, as they seem.

It remains unknown how relations between pool's administrators and funds where the money is invested are settled. Pools' administrators provide detailed information about such funds. At the same time, pools statistics is very pleasing – HYIP do not provide anything at all.

Accordingly, we should take into account that investments comprising more than $1000 – are quite another type of investment, and if information about funds or spheres to invest is confirmed, such type of business may become infinite. Although interests here are not very high :)

Pool also gives no guarantee. But as for favorable conditions and reliability, they deserve the most rapt attention and one should try investing in them.


About the author

Brett Sherpan has been working for seven years writing and editing for online and print media. He has held various editing and copywriting positions and can quickly and competently write copy for sales, marketing and editorial content. Brett is a consistently dependable team player, who thrives in a high-pressure environment, enjoying the challenges of meeting deadlines and am comfortable researching, writing and editing on a wide range of topics
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