Hello friends! With you is Alexander Berezhnov, entrepreneur and founder of the website “PAPA HELPED”.
Everyone wants to earn money without leaving home. The global network allows everyone to earn income with only 1,000 rubles in hand. In this article I will talk about investing on the Internet, share my experience and explain in detail what you need to do to make your money generate income.
I’ll say right away that the article will not contain links to scams and HYIPs, so that you, dear reader, do not lose your money.
Remember that all investments with a return above 20% per annum are associated with increased risk and the Internet is no exception!
From the article you will learn:
- How to invest your money on the Internet and not lose it?
- What areas of investment will be relevant in 2020?
- Signs that they want to deceive you: how to distinguish a financial pyramid from an honest online investment project?
Already interested? Then let's go!
“PAPA HELPED” shared his vision of investing on the Internet
What are investments on the Internet, what are they like and how can a beginner make money on them?
Let's start with what investment is in general, since it makes no difference whether you are engaged in this area online or not.
Investments are resources (time, money, equipment) invested in a project with the aim of increasing them (making a profit).
All investment instruments, both online and offline, can be divided into 3 conditional categories regarding risk:
- Conservative. Profitability: up to 12% per annum. This includes bank deposits, government bonds, residential real estate, and precious metals.
- Moderate. Profitability: from 12% to 25% per annum. This category includes commercial real estate, shares of well-known companies, bonds of private large enterprises, and antiques.
- Aggressive. Profitability: over 25% per annum. These are investments in business, startups, the purchase of cryptocurrency, little-known but potentially interesting funds with “exotic assets”, for example, profitable Internet sites.
Please note that here I am not even taking figures such as 100-200% profitability or more . Since in this case the risk of losing your funds is almost guaranteed!
Now I’ll tell you exclusively about investments on the Internet and their features.
If you are looking for where to invest 1,000 rubles and get a stable 100-200 rubles monthly from it, I recommend giving up this idea and taking off your rose-colored glasses. All projects promising 1,2,3 or 5% per day are obviously fraudulent.
Yes, at your own peril and risk, you can invest money in such an adventure to play with it and tickle your nerves, but nothing more.
Invest only what you can lose and never take out a loan for investment unless you have experience and a detailed understanding of the investment object.
There are several relatively reliable investment tools on the Internet, but they do not give you a 100% guarantee of their safety and increase:
- Your own Internet project (website, blog, service).
- Investments in securities (stock market).
- Compulsory medical insurance – O impersonal metallic accounts of virtual precious metals for real money).
I will talk about each of these methods below.
I will give you options on how to make money by investing on the Internet.
These are general schemes for users with different levels of competence:
1). Register a domain (website name) with a catchy name and resell it. Here your profit can be very significant, but the risks are also high. You need to find your buyer. This can be done for just 100 rubles , and the profit can amount to several thousand . But this is more of a business than an investment; it is called cybersquatting.
2). Buy a website that generates income from advertising and “milk” it further. The essence is the same as with a business: you acquire an enterprise and receive income from it as the owner.
3). Create an online portfolio of different investment instruments: several websites, stocks, bonds, deposits. Here you will have both conservative investments and more risky ones, but with higher income.
This is the most sensible approach, since due to the number and variety of assets, the risks of losses are reduced.
Binary options
In this niche, you won’t be able to raise money as easily as you can make money on interest on deposits. Binary options became widespread several years ago, but beginners misunderstand how they work. It seems to them that it is enough to simply make a prediction here; if the 3 previous “bets” did not go through, then the 4th one will definitely be successful.
In order to make money trading binary options, you need to study the theory and try your hand at demo accounts of several brokers. Economic news plays an important role. For example, if there are prerequisites for a decline in GDP in China, you can buy a downside option after the news comes out.
Pros:
- Selecting the option time interval.
- Lots of brokers and starting bonuses.
- Availability of programs that facilitate trading.
- You can place bets based on the forecasts of experienced traders.
Minuses:
- There are many scammers posing as “trading” gurus and information businessmen who sell working trading strategies.
- You need to be identified by the broker.
- Dependence on the technical condition of the trading platform (errors can affect income).
Beginners often search in search engines for the answer to the question: is it possible to make money from online investing? Then they read step-by-step manuals for registering through a referral link on the broker’s website, learn about “reinforced concrete” signals and do everything as a more “experienced” friend advises. As a result, they definitely make a profit and buy access to closed chats where premium forecasts are published.
In most cases this ends in disappointment. If you find yourself in yet another community of a successful trader on VKontakte or another social network with hundreds of thousands of subscribers and beautiful pictures of dear life, do not trust it right away. Often, the owners of such groups close comments, edit their posts and resell signals from colleagues.
Options trading
Myths and misconceptions about investing on the Internet - you need to know this
Often people do not have many prejudices and misconceptions. Here I have revealed the most common ones.
Check them out, maybe you think so too
Myth 1. The principles of investing on the Internet are somewhat different from offline. The essence of both is the same, you risk your resources in the hope of getting interest on them. The higher your risk, the more potentially profitable the investment. However, on the Internet, much less attention is paid to the correct preparation of documents and the official execution of the transaction. As a result, the investor may simply lose the right to the purchased asset.
Myth 2. To start investing you need millions of rubles (dollars) or at least hundreds of thousands. Most people imagine an investor as a rich guy, over 50 , with a cigar and a bag of money. This is wrong. When forming his online portfolio, an investor can buy shares and bonds whose price is less than 1,000 rubles and these will be his first assets. Of course, the profitability will be appropriate: you will earn a couple of buns a year from such capital, but the main thing is to take the first step and understand the topic in practice.
Myth 3. There are other risks when investing money (some people believe that there are more of them, others believe that there are fewer of them). The risks when investing on the Internet are the same as offline. They are no more and no less. You can lose money anywhere. To prevent this from happening, carefully evaluate the investment object and draw up documents correctly if you give money to someone. Also try to get other money-back guarantees when transferring funds online.
Myth 4. Internet investments bring much more than real estate or a bank deposit. There is some truth here, but the risks of most Internet tools are much higher than banking and real estate. Think for yourself, would tycoons with money invest their millions of rubles or even dollars in a bank at meager interest rates, if the Internet allows you to earn 5-10 times more .
Myth 5. You DO NOT need to pay taxes on income from investments on the Internet and in general this money is not visible to anyone. I'll upset those who love freebies. According to the law, a person must pay taxes on any income. So there is no escape from this. Especially recently, the tax service has been very closely monitoring the movement of funds not only from companies and entrepreneurs, but also monitoring those who withdraw profits from their electronic wallets in large volumes.
Where to invest money on the Internet to earn interest higher than bank interest?
Attention! The methods described below really allow you to earn sometimes more than 1,000% per annum . However, in the long term, 99% of investors in these instruments either lost all their money or went into a deep minus (received a drawdown of the investment portfolio of more than 70% ).
Be careful, take smart risks!
PAMM accounts
A popular highly profitable instrument. Its essence is as follows. A forex company collects money from several investors in a trader's trading account.
EXAMPLE
Let's say Vasya has 1,000 dollars , Petya has 2,000 dollars , and Masha has 3,000 greenbacks . In total, the guys have 6,000 dollars . And our investors deposited this money into the account of trader Misha.
Misha trades with investors' funds and shares the profit with them 50/50 . It seems that the trader is directly interested in trading profitably.
BUT!
In fact, it often turns out that the broker (Forex company) is in cahoots with this trader, and all the money (investors) lost by him on the stock exchange actually goes into the broker’s pocket, and he already shares part of the lost funds with Misha.
Yes, there are really cool traders and honest brokers, but there are not many of them and it is difficult to find them in the public domain.
Cryptocurrency
Nowadays there is almost no person who uses the Internet and has not heard about cryptocurrencies. We recently published an article on how to earn bitcoins. People who believe in a new financial era prefer to invest real money in virtual coins in the hope that they will grow.
The strategy of long-term investment in cryptocurrencies is called HODL. Today, implementing it is not a problem, even in the absence of any experience and knowledge.
It is enough to register in the exchanger-wallet “Matbi”. This is done extremely quickly. You must provide a real phone number or email. This data will then be used to protect your investments from scammers: to confirm the withdrawal of funds, you will need to indicate codes that will be sent to the specified phone number and email. In this regard, “Matbi” took very good care of its clients.
To purchase cryptocurrency on Matbi for rubles, dollars or euros using a VISA\Mastercard, you will most likely need to undergo identity verification. This will not take much time, but it will make it possible to fully use all the capabilities of the exchanger.
After replenishing your account on Matbi, purchasing coins is carried out by selecting the desired cryptocurrency from the list and indicating the amount for which you want to take it. The exchanger will automatically calculate the number of coins at the current rate.
You can buy not only bitcoins, but also many other cryptocurrencies. And for each “Matbea” provides a convenient, fully functional wallet, which can be accessed through the Matbea mobile application.
To implement the HODL strategy, then simply monitor the rates on Matbi itself and wait for the price to rise in order to sell the coins there.
If the user has any questions, the team has prepared detailed video instructions.
Some people speculate on cryptocurrency exchanges and earn money without leaving home. Others prefer to set up a mining farm and siphon virtual money from the Internet. I have a friend who trades crypto on the stock exchange. Sometimes he manages to earn 5% on his capital every day , and sometimes the trader simply drains his account to almost zero.
If you are not afraid of fluctuations in the cryptocurrency rate, and you are going to wait until the virtual currency grows, then try investing in it. Now there are a lot of options on the market: from the well-known Bitcoin and Ethereum to local and “homemade” cryptocurrencies.
A very risky instrument, but you can really earn a lot
Stock market: stocks, bonds
This is a classic area of investing that can be done on the Internet. In fact, you can start with 1,000 rubles and practice buying and selling securities.
However, to really make money, you need significant funds: at least $10,000 . Firstly, you need to know which stocks and bonds to buy, and secondly, take into account the risks. Here you can also lose some money if you misjudge the direction of the market.
Although leading millionaires and billionaires prefer to invest money here.
For example, Warren Buffett, the world's leading investor, became one of the richest people on the planet by investing wisely in stocks.
To learn all the intricacies of investing in stocks without leaving home, I recommend that you take Fedor Sidorov’s course. My friends and I took this course and it really helped us take our first steps in this direction.
Forex currency market
Forex is a sensational get-rich-quick topic in recent years. In fact, it is a legal foreign exchange market designed for the exchange of large volumes of one currency for another, for example between countries or large companies of different countries.
But enterprising people realized that they could speculate on it, exchanging one currency for another and taking the difference for themselves. They are called stock traders. Forex is intended mainly for quick earnings and cannot be classified as an online investment tool.
Yes, here you can double your capital in a day, but you can also lose it to zero. If you have steel balls... that is, nerves, then you can try yourself in this topic of “investing on the Internet”. But before you start trading, practice on a demo account.
And here’s some more important information for you: most Forex brokers or so-called dealing brokers. They do not bring your transactions to the real foreign exchange market, and all trading takes place according to quotes (graphs) that are profitable for the broker. By losing money, you feed the brokerage company and nothing more.
Well, forewarned is forearmed, but the choice is yours anyway.
Binary options
These are exchange contracts. I won’t describe their essence here. The principle of making money on them is the same as on Forex. You trade virtual “securities” and, if the price forecast is correct, you take profit.
If you don't guess the direction, you lose money. According to some investors and raiders, binary options are an even more aggressive instrument than currency. If you are feverishly planning to become a millionaire by trading this asset, be careful. You can lose everything here to zero.
Microloans
According to the law, microfinance organizations registered in the prescribed manner can raise money from the population in the amount of 1,500,000 rubles . As you can see, the amount is not small. At the same time, you can count on a return of 20-30% per annum.
Your money will work due to the fact that it is issued to other people at a higher interest rate: 50-100 per annum . But there is also a share of non-returns of issued funds; these risks are already included by the microloan organization in the interest on payments to investors.
This is a more reliable instrument with a fixed good return and a small amount of risk. An official contract will be concluded with you, where all the conditions will be specified.
BUT, REMEMBER!
Your “deposit” in a microfinance organization is not insured by the DIA ( Deposit Insurance Agency ) , unlike deposits in banks.
HYIPs
These are highly profitable projects on the Internet. They usually disguise themselves as investment companies that make money on Forex or cryptocurrencies. But in reality they are ordinary financial pyramids.
You can make money quickly or lose everything
If you follow the information field, you probably know about the high-profile collapse of the Cashbury pyramid. According to state estimates, citizens lost from 3 to 10 billion rubles in it .
They tell you that “we make money on new technologies, blockchain, cryptocurrencies.” At the same time, they promise 100-200% , and sometimes 500-600% per annum.
People sell their last property, take out loans at 20-30% and invest money in these projects. As one would expect, at the stage of 6-20 months the HYIP is closed, and its management goes on vacation to the islands with girls and expensive cars at the expense of gullible investors.
Of course, there are also honest HYIP projects and they really invest money in securities, real estate, Internet sites and other understandable instruments. However, they promise a profitability of no higher than 30-50% per annum .
Just think about why some fund would attract hundreds and thousands of private investors, paying them 200-300% for the use of money, if at 12-20% the same money can be taken from a bank or, at worst, from big tycoons at the same 30-50% per annum.
Be careful with HYIPs. You can indulge in them, but I wouldn’t invest significant amounts of money.
Unallocated metal accounts (OMS)
You can invest online in precious metals. To do this, you can tear off impersonal metal bills directly from your computer. Their essence is that your money is “tied” to the current exchange rate of gold, silver, platinum or palladium, and as the price of the metal rises, you make a profit.
However, the cost of metals may fall. In this case, your capital will decrease. But despite this, historically, prices for precious metals rise every 5-10 years and compulsory medical insurance can truly be considered as a type of long-term reliable investment.
Games with money withdrawal
There are many ways on the Internet to invest in games with the withdrawal of real money. But they do not appear in the system by themselves. In essence, this is the same financial pyramid, only here you need to take various actions to increase the level of payments.
Every day, games like “Bird Farms” appear, where the participant needs to deposit real funds and buy birds with them.
The more birds you have and the higher their rank, the more eggs they lay. You sell your eggs on a special farm and get points for them - money. These funds can be spent again on buying birds, or you can simply withdraw them to your e-wallet.
There are also games on the Internet about homeless people, taxis and other areas that imitate real life.
Below I have compared the following online investment methods in the table:
| Investment instrument | pros | Peculiarities |
| PAMM accounts | High percentage of profitability: from 30 to 500% per annum. Ease of investment. Money can be withdrawn at any time. Fully online tool. | High risks of losing money if investing in unreliable companies. Often there are no official documents about accepting money and scammers take advantage of this. |
| Cryptocurrency | A popular trend in recent years. High capitalization of leading cryptocurrencies: Bitcoin and Ethereum. The opportunity to earn hundreds of percent per year when prices rise. | Due to strong exchange rate fluctuations, you can quickly go negative or unknowingly buy a little-known crypto, which in the future will be difficult to sell even below the purchase price (illiquid). |
| Stock market: stocks, bonds | A legal and transparent instrument with a relatively high yield: from 15 to 40% per annum. You can invest via the Internet, it is possible to create a diversified portfolio. | There are risks of losing part of the capital if the price of securities changes or the issuing company goes bankrupt. Professional knowledge is required to generate stable income over long periods. |
| Forex currency market | Suitable for "risky guys." You can work starting from $100. Unlimited income with competent trading. You can increase your capital 100 times in a year. | High risks of losing all capital due to high leverage or unreliability of some Forex brokers. Not suitable for long-term investment due to strong currency fluctuations. |
| Binary options | Similar to the Forex market, there is an opportunity to earn a lot, a popular topic among young and passionate people. Convenient trading terminals for smartphones. | A very risky instrument, suitable only for speculation over the Internet. Not considered by investors as an investment. Often binary options brokers are known to be scammers. |
| Microloans | Stable and relatively conservative instrument. Allows you to make a profit and repay the loan with a high degree of probability. Suitable for people with big money (millions of rubles). | Personal presence with a passport is often required to conclude an official contract. There are some risks of losing interest or all capital. You should choose only large and reliable companies. There is no insurance in the DIA. |
| HYIPs | Daily payments in most projects, high interest rates and a variety of directions allow you to regulate risks by allocating capital to different HYIPs. | Financial pyramids are often disguised as HYIPs and do not “live” for too long. They usually last from 6 months to 2-3 years. As soon as the influx of new investors dries up, the project is closed. |
| Unallocated metal accounts (OMS) | Legal investment instrument. It is offered by Sberbank and other large financial organizations. Your money is “tied” to the rate of the precious metal, which reduces the risk of losing it. | They do not bring high returns. More suitable as an alternative to a savings account. You won’t have real metal on your hands, but no one will be able to steal it. |
| Games with money withdrawal | A “cool” tool for investing online. You can earn money while having fun. Interesting stories and beautiful graphics attract many novice players. | This is rather not an investment tool, but rather a high-risk entertainment with elements of a financial pyramid. The key word here is “games”, and with the withdrawal of money or not, this is secondary. |
To competently compile your investment portfolio and invest money in truly reliable instruments, I recommend taking Fyodor Sidorov’s course on investing. In this course you will learn how to select and evaluate stocks and bonds. You will be told about the nuances of investing in ETFs, cryptocurrency, how to recognize HYIPs and how to effectively manage your finances.
My friends and I successfully completed this training and it allowed us to properly manage our free funds and begin to increase them.
Each lesson is accompanied by homework and upon completion of the training you will have a full set of step-by-step actions that will certainly lead to a financial result.
Watch Fedor's short video where he shares the 7 golden rules of a successful investor:
Mistakes of a novice investor
You should not buy assets with borrowed money. You should have free money at your disposal, taking into account the existing “airbag” and set aside capital for unforeseen expenses. You need to be sure that you can lose your investment without damaging your budget.
Investing on your own requires extensive preparation. Complete the training and get acquainted with useful literature:
- John Murphy "The Visual Investor";
- William Bernstein's "An Investor Manifesto"
- Benjamin Graham "The Intelligent Investor";
- John Rothchild The Peter Lynch Method. Strategy and tactics of the individual investor."
Don't be scared by the growth dynamics of stock prices (especially with a long-term perspective of 2-3 years). This is a standard situation for stock exchanges. Set your own loss limit and focus on its percentage.
Attention! Don't believe promises of a high percentage of income. 400-500% ̶ unnatural growth rates.
Diversification on the Internet - creating your online portfolio
There is a rule in investing - invest money in different instruments, so that if one goes bankrupt or stops bringing interest, others will compensate for it at that time and “pull” your capital into a plus.
In professional investor slang, this term is called diversification , that is, division.
This point is also popularly called “don’t put all your eggs in one basket.” The implication is that if she flips over, they will all break.
Diversification looks like this:
Make a portfolio from your investments on the Internet, that is, a set of these same tools in different proportions.
EXAMPLE
You have 100,000 rubles to invest.
You invested 20,000 rubles 20,000 rubles in HYIPs, bought bonds 50,000 rubles 10,000 rubles - purchased shares of well-known Russian companies (Gazprom, Sberbank).
Thus, you have created an investment portfolio of various Internet assets. Since 50% of your portfolio are conservative assets (bonds), then overall the risks in the portfolio will be moderate.
Yes, this means that you divided your investments in HYIPs into at least 3-5 different projects.
With such a portfolio, with relatively low risks for a given amount, you will be able to earn from 20% to 80% per annum . In the most pessimistic scenario, you are unlikely to lose more than 30-40% of your portfolio in a year.
When your portfolio is created, use a convenient service for monitoring your investment portfolio - Intelinvest.
Add purchased stocks and bonds, monitor your portfolio, analyze profitability
It will help you keep track of your current assets and conveniently manage your portfolio via the Internet.
Investments in Internet projects with low risks - TOP 5 proven areas
Here I present real projects in which you can invest money on the Internet and have a constant income from them. All of them are more likely related to business, so in addition to money, you will have to invest your time, and possibly the work of other people, in most of them.
Your own YouTube channel
Nowadays, no matter what, everyone strives to create their own video blog. And this is the right decision. You will need money to buy equipment: camera, special lighting, microphone, chrome key (green background). But if you develop your YouTube channel correctly, after a few months you will become a recognizable figure in the Internet space and will be able to charge money for advertising on it.
The first source of income will be Google Adsense - this is an advertising network that allows you to broadcast advertisers’ videos that automatically pop up on top of the video. You have seen these commercials while watching YouTube videos. Yes, often such advertising is annoying, but you receive money from it passively, that is, you have no technical impact on its broadcast on the channel.
Further, if your channel has a significant target audience for advertisers of a certain profile, you will be paid money for placing direct advertising. This is how some popular YouTube bloggers earn hundreds of thousands and even millions of rubles. And they started filming their videos using a simple iPhone and a lapel microphone for a couple of thousand rubles.
Online store
You can invest money in your online store. You can start a Business with China, ordering goods from China and selling them in your country through a one-page website or a full-fledged online store. Investments will be needed for the product and the development of the site itself.
Then, when the store develops, it can be sold as a ready-made business. You can also buy a ready-made online store, which will require significantly more money, but here you won’t have to bother with its development, spend money on a programmer, and learn from your own experience how to promote and sell products.
Having launched one project, for example, in the niche of children's products, no one is stopping you from scaling up and investing money in purchasing the next project in another niche.
3. Internet service or application
This has been a popular trend in recent years. Here you are not acting as a developer, but giving money to smart guys who will “develop” such a service and share part of the profits with you. For example, a well-known businessman in the IT field, Pavel Durov, raised about 2 billion ! dollars through ICO - the release of cryptocurrency for the Telegram messenger.
The risks here are very high, and you should know personally the people you trust with money. For greater reliability, Russia and the CIS countries have adopted the rule of project co-financing. That is, an entrepreneur must invest a significant amount of money into the project and show the result of his work before going to investors.
Investments in such projects are similar to the principle of “sink or perish.” That is, if the project succeeds, you multiply your money 100-1,000 times and become a millionaire, and if it fails, you simply lose it. This is why proper diversification is needed. It is just as relevant in online investments as it is offline.
Share in someone else's online business
Buying shares is another way to invest money online. Now we won’t discuss for a long time how to formalize this correctly legally, the main thing is to understand the principle.
Let’s say I have a website “PAPA HELPED” and it brings in 10,000 rubles a month from advertising. 10% of the project from me , valuing it at 100,000 rubles . That is, by paying me 10,000 10% of its profits for the rest of the life of the project .
Yes, there are a lot of nuances here, but the general idea is this. By the way, when you sell the project, you will also receive one tenth of the money received for it as a shareholder.
And this principle works in any business: both online and offline. In the stock market, in the same way, when you buy a share of a large enterprise, you become its co-owner, even if it is only 1 millionth part. But every quarter or once a year, according to your promotion, you will receive interest from the profits of the entire company.
When you sell it, you will also receive the value of your share. You can either lose money or earn money on this trade. It all depends on the market price of the company at the moment - its capitalization.
Your own website or blog: the founders of the “PAPA HELPED” project share their personal experience
You can also buy a profitable information project (blog) and receive income from it.
For example, the popular exchange for buying and selling websites and domains “Telderi” allows you to buy and sell your projects.
In 2012, my partner and I created the popular business website HeatherBober.ru, over time it reached a traffic of 30,000 people per day and brought in more than a million rubles per month .
You can create such a project yourself if you have a lot of time and the necessary knowledge. When we started, we invested only 1,500 rubles per year for the domain and hosting.
But if you do not have the knowledge to create profitable websites, you can buy it on the above exchange. Starting with 100,000 rubles and gaining first experience with the site, you can gradually increase the pool of your Internet assets.
There are guys who have dozens and even hundreds of information sites with good income, and the profit of such webmasters is measured in millions of rubles per month .
You can invest in websites either independently or by finding co-investors. Then you don’t have to run the site yourself, but give it to someone experienced in this matter to manage it for a monthly percentage of the profit.
How to avoid falling for scammers
Investments on the Internet involve the risk of losing them due to dishonest people.
Have you encountered any of these?
Here are a number of rules on how not to lose your money and not run into scammers:
- Beware of projects with unreasonable excess profitability and daily interest payments. Fraudsters usually offer you from 1% profit per day with the possibility of daily withdrawal of funds. In 100% cases these are financial pyramids.
- Check the availability of company coordinates. Carefully study the “Contacts” section on the project website. As a rule, scammers indicate a fictitious address on the site. Whether this company is actually located at the specified legal address can be checked through the 2Gis service. You will never find the number listed on the website in the landline phone directory.
- Demand that the transaction be completed legally. Do not invest in Internet projects where your transfers are made without a formal contract and any guarantees.
- Don't be fooled by unrealistic promises. Fraudsters on the main page of their website clearly indicate a risk-free strategy for investing your funds.
- Beware of investment projects with a low entry threshold. No serious investment company will take 100, 200 or even 500 $ for management. Since the operating costs of maintaining a client will exceed the real income from such investments.
These simple recommendations saved me hundreds of thousands, and maybe millions of rubles.
PAMM accounts
Many people associate earning money on low-risk deposits with PAMM accounts. This is true. The essence of the mechanism: the investor gives his money to a trader for management, and he trades on the stock exchange and earns money for himself and his investors. After the calendar period closes, investors receive their investments with interest. At first glance, everything looks smooth and there are no pitfalls. But the trader can easily go into the red, and investors will suffer losses.
It is difficult to make forecasts in PAMM accounts. Today, a trader’s account may show positive dynamics, but tomorrow the income will suddenly collapse due to the aggressive trading of a self-confident “player”. To earn money on deposits, you need:
- Distribute the portfolio between several “traders”.
- Do not trust money to beginners, analyze the statistics of the trader’s work.
- Record profits and losses in a timely manner.
PAMMs can become a powerful source of income or a “vacuum cleaner” for money. Many investors give their money to multiple traders to minimize losses. For example, if one account goes negative while several others remain positive, this will offset the damage to the transaction. Typically, each platform for managing PAMM accounts has a rating of traders and detailed statistics. Analyze it and do not blindly trust promises.
FAQ
These are the questions that concern people the most in my experience.
Question 1. I want to take the first steps to get better. Are there investments on the Internet starting from 100 rubles or are larger amounts needed? Rakim, 23 years old, Tula
Rakim, yes, you can make investments from 100 rubles , or more precisely, with 1,000 rubles you can already create a micro-portfolio. You can invest money in all of the instruments described above. This amount, of course, will not bring you a solid profit for the year, but it will give you an understanding of the first steps in investing. You will understand in practice what an investment portfolio is and why diversification is needed.
And the most important thing is that you “feel” each direction in real life in order to form your own unbiased opinion about it.
Question 2. A friend offers to become an investor in his Internet service; he needs 500,000 rubles. The service concerns career guidance for people, mainly young people and schoolchildren; it already has successful experience in this matter. Promises 30-50% per annum on invested funds, is it worth investing? Dmitry, 31 years old, Moscow
Dmitry, you can try, but always remember that the risks lie with you. Ask your friend if he is ready to become a co-investor in his own project? If yes, then his interest will be clearly higher than just taking money from someone.
In the most pessimistic scenario, the application “will not work” and you will lose some of the money or even the entire amount, but will gain invaluable experience. The main thing is not to invest borrowed (credit) funds in such a project and do not risk the last money necessary for life. Good luck!
Question 3. By nature I am a conservative, I don’t like to take a lot of risks. Are there investments on the Internet with low risks, albeit low returns? Ivan, 33 years old, Krasnodar
Ivan, yes, there are such investments. To begin with, buy federal loan bonds, the interest rate there will be slightly higher than the bank interest rate, but this is no longer just a deposit in a bank, but a real investment instrument. Having dealt with bonds, you can gradually switch to liquid shares of Russian companies (blue chips).
For greater reliability, it is still worth placing part of the funds on a bank deposit in 3 currencies and diluting them. All this can be diluted by investing in impersonal metal accounts.
For a beginner, such a portfolio will be quite conservative and you will see in practice how this or that instrument works.
Question 4. What qualities should a novice investor have in order to succeed and not lose money? Denis, 24 years old, Smolensk
Denis, firstly, a novice investor must have common sense, that is, critically evaluate his actions and the financial instrument in which he invests money.
Secondly, he must have the basics of financial literacy and understand the principles of money management, and know the features of a particular asset.
Thirdly, correctly assess the risk/return ratio.
And fourthly, be emotionally neutral, see numbers and think with them when taking actions with your finances.
Question 5. If the HYIP in which I invested money is closed, is it possible to somehow return it according to the law? Igor, 28 years old, Kirov
Igor, unfortunately the chances are almost zero. However, on the Internet I once saw a service provided by lawyers for the return of money from financial pyramids, dishonest Forex firms, and so on.
You can contact a lawyer for advice and he will tell you what to do in your situation. This can be done online through the proven legal assistance service “Pravoved”. Here you will receive a response in about an hour.
Question 6. If you want to try something exotic, tell me what new types or tools of Internet investment have appeared today? Irina, 32 years old, Novosibirsk
Irina, in my opinion, exotic types of financial instruments for you will be those that you have not yet used. But keep in mind, all “exotic” tools are often unreliable. significant in them . If you decide to invest in such assets, then first invest a little to play around and “test the waters.”
But here too, do not forget about diversification.
Forex
Perhaps the most popular type of investment. Many beginners begin their journey of making money online on Forex with training demo accounts. The entry threshold here is low, you can make deals for a few dollars.
For a successful start you need:
- Have basic knowledge of economics and e-commerce.
- Follow the news and interpret them correctly, monitor the market situation daily.
- Take specialized courses.
- Register on several platforms: Alpari, Forex Club, etc.
- Use specialized software, for example, Meta Trader.
If you decide to invest in stocks, be prepared for a lot of hard work. Of course, you can make predictions at random, but this is unlikely to bring a stable income. It is worth noting that in Forex, as in other niches, there are many risks. Enterprising investors allocate funds across multiple exchanges and trade with different strategies to ensure safe trading.
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