6 Tips For Beginning Hyip Investors

Beginner investing can be very difficult and since folly here can cost you a great deal, it's nice to have a little hard earned experience handed to you to help you along your way. And since this information is free, if you review and apply the following guidelines I lay before you, it may just be the best investment you ever make.

HYIP's or High Yield Investment Programs are one of the latest internet investment schemes that are gaining a lot of global attention not only for the return on investment that they promise to give, but also because of the number of individuals who are losing there wallets by placing there trust in such programs.

HYIP's by nature are known to have a higher percentage of investment risk, but also a dramatically larger percentage of yield. In the last few years they have become more known as "ponzi schemes".

Ponzi schemes typically involve promises of abnormally high returns to investors in a short period of time. The first investors enrolled into the program are the first to profit and do so by the funds invested by subsequent investors. Eventually the whole scheme collapses or falls in on itself leaving the majority of its investor's deficient the principal amount they invested.

The online community has produced several forums and monitors to help protect investors who choose to pursue this high risk form of investing. You can quickly check the current status of a desired program and read comments or reviews to. You can also be notified on a day by day basis as to whether or not the program is still paying out to its investors.

Some hard earned practical tips and guidelines for beginner investing are as follows;

1. The number one rule to HYIP investing is to only invest in what you can afford to loose. The chances of you loosing your investment are very likely if you don't carefully follow the following steps.

2. Diversify! We have all heard this before. Do not put all your eggs into one basket. If you are hoping to invest five thousand dollars than you might want to consider investing $1000 into five different programs or $500 into ten different programs. Don't loose it all in one place.

3. When looking for High Yield investment programs, make sure there is legitimate contact information on the website allowing you to contact the program's administrator if you have any questions after investing. You would be shocked to know that a large percentage of investors don't even have a method of contact other than an email address.

You should always test the email address to validate that it is an active address as well as to test the response time of there customer service.

If there is a phone number present, test it as well and make sure that it is an active line. Do you get a live person on the phone when you call?, or is it always a message box telling you they will contact you back? This can be a strong indicator of a small basement ran scam trying to take your money. Scammers know that many will check for a phone number but not call it until their promised returns don't show up in their account.

Don't be so foolish, due diligence will save you more money than anything else in the arena of HYIP investing.

4. Check the life of the HYIP of interest. How long has it been around? Here you don't want to invest into a program that is to new as it has yet to be proven. You also don't want to invest in one that is to old as it may be about to crash considering most HYIP last less that a year's period of time.

5. Percentage of return should also be considered as well as the old adage "If it's too good to be true than it usually is". The smallest promised gains in the HYIP world return about 1% daily, which gives you a higher yield than just about anything else you could invest in. The key here is not to get greedy. The higher the promised yield the greater the risk.

6. Lastly, don't let emotion get in the way. Study your interests, define a plan and stick to it. Emotional investing will get you no where!

If you're a beginner on investing in HYIP's, these tips should help you greatly as they are all hard lessons to learn by yourself. Do yourself a favor, employ the tips above, dramatically reduce your risk and lastly of course, make some money!

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