Scam alert

-

For centuries, investors have been falling for crazy or “just too good to be true” investing schemes, systems and just bad investing ideas. With the current up-cycle in the market, these risky schemes and frauds just keep coming.

In the US, BitConnect was shut down as an alleged Ponzi scheme. The company represented that investors could earn up to 40% per month, or 400% per year was promised to others. BitConnect solicited Bitcoin in exchange for BitConnect Coin (BCC) and claimed that BCC would be lent to others and accrue daily interest.

Dillon Michael Dean of Colorado and his UK-registered company The Entrepreneurs Headquarters Ltd. were sued by the CFTC accusing them of operating a Ponzi scheme involving Bitcoin. The scheme allegedly solicited $1.1 million in Bitcoin from more than 600 investors.

In Bulgaria, OneCoin offices were raided and documents and servers were seized from “One Network Services,” a Bulgarian company serving as a representative and distributor of OneCoin. The company allegedly operates in England, Ireland, Italy, the United States, Canada, Ukraine, Lithuania, Latvia, Estonia and other countries.

In China, Huang Dingfang and Cai Keyi were convicted of running a Ponzi scheme through Longyan E-commerce Co. Ltd. Investors were promised annual returns of more than 250% if they invested 4,000 yuan.

In India, the Finance Ministry cautioned investors they are “entirely at their risk and should best avoid participating” in digital currency investments, likening them to “Ponzi schemes.”

In Japan, Coincheck suffered a hacking attack and lost $534,000,000 of virtual assets. Coincheck froze deposits and withdrawals for all cryptocurrencies except Bitcoin.

Popular posts from this blog

Institutional investors focus on ESG and Alternatives as volatility returns

-
Image
This article in Business Wire crossed my desk and may be of interest to some clients. Interestingly, I have been looking to incorporate ESG into our investment strategy with new partners. Here is a part of the article: Volatility finally roared back to abnormally tame markets, but most institutional investors were already bracing for impact; their efforts to diversify and build durable portfolios may now pay off, according to new survey findings released by Natixis Investment Managers. Seventy-eight percent of institutional investors expected stock market volatility to spike in 2018, and they are making opportunistic allocations to active management and alternative investments in order to help meet average long-term return assumptions of 7.2% this year. Natixis’ Center for Investor Insight surveyed 500 institutional investors around the world to gain insight about how they are balancing long-term objectives with short-term opportunities and pressures. 7 in 10 investors agre...
Read more

The US dollar comedy

-
Image
As I scan the news articles everywhere, I have noticed almost everyone and his dog is becoming increasingly bearish on the US dollar. The US Dollar Index was one of the major disappointments of 2017, depreciating by 9.0% and putting in its worst performance since 2003. Effectively, the dollar will get thrashed again in 2018 is the popular view.  Some of the analysts argued that all good news is already priced in the US dollar. It makes sense from the fundamental perspective. However, lots of things make sense in the investing world until Mr. Market decides to prove rationales flawed. Just ask the old timers who have seen enough in the markets. According to the latest Commitment of Traders report, released on December 29 by the Chicago Futures Trading Commission, large speculators reduced their net short positions on the US dollar. I do care about fundamentals. Over time, the macroeconomic fundamentals will reassert themselves. The key is interest rate different...
Read more

Special event: how to have your cake and eat it too!

-
Image
Over the past couple of months I have presented at several private events for investors and urged them to think outside the mainstream. With each session triggering a flood of requests for additional meetings. Every traditional investor faces the same dilemma. Shoot for huge returns and you put way too much capital at risk. Choose safety and your cash is spread so thin you barely break even. Do you know the #1 thing on everyone’s mind in today’s challenging economic and market conditions especially with stock market volatility making a comeback recently? It is guaranteed income and steady capital growth during market upturns and downturns. The perfect investment model does exist. I am sending you this VIP invitation to join me for a private presentation on how to grab guaranteed income and steady capital growth at the same time. No obligation and lengthy sales pitch. I will also be giving you my latest views on global asset classes like stocks, bonds, foreign currencies,...
Read more