Nobody wants to fall for a Ponzi scheme.
But plenty of people sell them.
They usually offer high consistent returns, without any losses.
A friend of mine recently sent me a fund prospectus from Quant-Spread Systems Pte Ltd. You can see it below. Quant-Spread Systems Pte Ltd. offers no monthly losses and projected annual returns of about 30 percent per year. Such promises should ring alarm bells for everyone. It’s like promising a flying fridge that could take you to New Zealand. The man who created this product doesn’t want to be found. You can’t find his company online. The prospectus doesn’t include a regulatory filing. And the fund manager’s name (no one’s name, in fact) is mentioned on the fund’s prospectus. This all helps schemers slip away in the night.
What’s more, No financial product, in the history of finance, has ever earned 30 percent annual returns with no monthly losses.
Bernie Madoff, the incarcerated Ponzi schemer, averaged “returns” of 8 to 12 percent per year. He didn’t record a single annual loss because he wasn’t really investing money. His account statements were fake and he used new investors money to pay other investors. That’s what a Ponzi scheme does…and now Bernie lives in jail.
Apple’s stock is one of history’s greatest success stories. Since its IPO in 1980, it averaged 17 percent per year (1980-2019). And of course, it has had several losing years.
Berkshire Hathaway (Warren Buffett’s company) is probably the greatest stock performer in history. From 1965-2019, it averaged 20.5 percent per year. But once again, it has had several losing years. Quant-Spread Systems Pte Ltd. says it can do better….with no monthly losses.
If you have done a general search for the scheme titled, “A Capital Protected, Long Short FX Trading System with Consistent Monthly Returns” or “Quant-Spread Systems Pte Ltd” then I want to congratulate you.
Your willingness to search it online will save you plenty of pain. Such schemes are often sold to expatriates. Such schemes wreak people’s lives.
As a community, we need to do what we can to protect ourselves from the crooks who create and sell such schemes.
Image by Pixabay
Their Spiel is Below
(& count the typos in this so called ‘professional’ presentation)
Read more about Ponzi schemes and how so many people get lured in.
Click below to read my AssetBuilder article on Ponzi schemes.