Investing in HYIPs is always connected with great risk. To minimize the risks of investing in HYIPs it is enough to observe a number of rules. In this article we will consider the basic rules that will help protect the investment process as much as possible.
Make up an investment fund. Before you start investing, form an investment bank. It is the allocated amount of money you will increase via Internet investment. Be sure to shape the investment fund before you start investing. You have to take the money to invest only from the investment fund. The investment fund should not meet with your other budget items. This money will go only for investment.
Never invest the last money. Investment Bank should comprise the sum the loss of which will not be catastrophic for your life. It is not necessary to cut the cost of basic needs. Set aside the money that you will be able to allocate at expense of optimizing reasonably your expenditures. If you and your family experience some discomfort in the case of the “tragic” turn of events, do not invest these funds. It should also be noted that if you are not a professional investor, never invest somebody else’s money.
Pay for yourself first. After earning any amount of money set aside 10-15% of this amount to the pig bank for forming an investment bank and creating assets. Plan expenses only after you ‘have paid yourself.’ Keep in mind that your working capital has to work and earn you money, not to be spent on personal needs and entertainment. For this you have the basic and capital accumulation.
Invest only your own money. Do not borrow money for investment. Whatever the successful company may be, nobody is insured against losses in the field of high-risk investment. Of course, this option looks tempting, but remember: Invest only your money! So give up the tempting idea to take credit for investment. Invest only your money, the working capital. Never invest the “basic” or “cumulative” capital, because they perform other functions. Try to invest only the money the loss of which will not affect the level of your life and your health.
Do not keep all your eggs in one basket. Diversify risks. Any beginner investor must know this rule. You shouldn’t put the entire investment bank in the same company! Even if the company / project has been operating in the market for several years and keeps showing good results. Analyze proposals and distribute the whole investment bank between 3 or more projects. In such a situation a HYIP scam won’t hurt you.
Withdraw initial deposit as soon as possible. Despite the temptation to reinvest your task is to withdraw the invested money from the company as quickly as possible. It is will 100% insure your investment. You take off most of the risks, because a net profit will be working on you! For example, a good option will be to withdraw half of the profit for the previous month, and to add the second half to the deposit. By doing it you protect yourself against the possibility of losing your own money.