short cuts to investment? not for me...

A friend of mine popped a message to inform that a certain group went to invest on a certain company that pays out 3% interest daily. 

And so?

She was concerned that most of those interested were her friends. Anxious, she intervened to them that before investing into such attractive returns one must do their due diligence.

Good job! but never tell something they should not do...it's their money, not yours.

Nevertheless, i went to check out what's with all the fuss... she gave me the link...


The basic one may know to gain in stock investing are the one below. All others I consider a magic.

In stocks you gain in 2 ways:

-Dividends
-stock appreciation

This certain online investment company she is showing to me is giving out a pay of 3% daily 5 days a week..and if her explaination to me was right, the investment matures after 72 days. (well whatever the scheme my point is this) I did ask for a financial statement to evaluate, if there is, but all I received was an opinion.

Opinion is good but I need numbers. To understand how it works is a key to control of information than someone else's hype to protect an established belief.

In investing we give money in return for a dividend through the earnings of the business. While it is in stocks we also get a gain from price appreciation the moment you sell it higher than your purchased price.

My advise to my friend was only to remind them what they have to do BUT do not be a hero telling them what not to do. 
She did her part good. She remind them that for a higher reward, there is risk. We can't argue about that. 

In my own way of investing, I only put my money where I know how the numbers move thereby checking financial statements and analysing the numbers should there be any positive track in the pipeline to speculate 

No financial statement/ or any information how the business works means NO money in the pot.

Scams are made of magic explaination and attractive presentation, and a very attractive return as well. Enron became a profitable investment company until it collapsed to realize there was really no earnings, only systematic modus of trading...

Anyway, earnings is my key to investment. 
I have asked them, how can an investment company sustain a pay out of 3% when there is even no public information as to how they are earning. A good online presentation will not do for me, maybe for others who seek for short cut.

Finally, my friend is now at peace. She said she has no hurt feeling not to intervene with the group if that investment really turns out wrong.

I said again, don't think it is a wrong investment because it looks really right when it is earning. The problem is the approach to investing and that one did not fit for you and more so for me. 

My friend, let them enjoy if they are earning even in the most absurd way- at least they are getting money out of that scheme. It is their money to spare. What we can do is to focus our energy to a more important thing than be disturbed to the doings of others. We continue to investing in the right way and that is invest where right money is earned, and where earnings are gained without short cuts.

Good luck to us and to all PSE investors...and of course, also to that "3% group"

PSEI to 10,000!