If you have read 'Ponzi Origin' and start to believe that all HYIP are ponzi and should not take a second look at HYIP. Then let me tell you of another interesting piece of history about the first ever recorded history of a legitimate High Yield Investment program.
This is the Warren Buffett's rendition of a High Yield Investment program.
Now everybody knows the name Warren Buffett, and in some ways if you look at it he runs a huge HYIP program. Buy his Berkshire share and he will make you very rich. Don't take my word for it because Warren Buffett never declared that he will make you rich if you invest in him.
Anyway, a short history about him. Born in 1930 in Omaha, son to Howard and Leila Buffett. He was a genius with numbers. He started his first entrepreneurial escapade when he was 13 when he bought a pin ball machine and set it up in a barbershop where he grew the business to own seven machine taking in about $50 a week then.
As he grew up he was involve in various entrepreneurial escapades, such as buying recondition cars and renting it out. He was taken by the book he read by Benjamin Graham 'The Intelligent Investor' that after he graduated from college, he went to New York to study with Benjamin Graham. In 1956 when Graham's company with disband, Warren Buffett had already acquired the knowledge needed for him to make it in the financial world.
So he when back to Omaha and started to form a limited partnership of seven people all whom where either friends or family and raise up about $100,000 in capital. That was a very big amount than. He promised them 6% per year on their capital on top of that 75% of the profits made by this partnership while he would get 25%. Over the years (13 years or so) he was able to compound the investment at a rate of about 30%.
So for 13 years he was able to live out his promise and when his capital was big enough he was able to buy Berkshire Hathaway. In 1969 he dissolve the partnership because he knew the market was too speculative and then started to concentrate more on growing the business of Berkshire Hathaway.
The rest of the story can be found in numerous books about him. But the short of it is that, the idea of pooling in capital or money in return of big returns is possible. If only we can find the right one.
Another point to note is that, even legitimate ones like the partnership Warren Buffett formed only lasted roughly about 13 years. So don’t expect to invest in High Yield programs and retire from it.
Woo... check out what I found out. Do you know that ponzi originated from a person's name?
Ok... if you do, than good for you. If you don't it is alright. Here is something to share with you. Ponzi scheme was actually originated from this guy call Charles Ponzi. He is an italian who migrated to America. He was born in 1882 and in 1902 he moved to America.
While he was working as clerk answering foreign emails he discovered that he was able to make money out of postal coupons where he could get postal coupons for 1 cents in Spain and exchange it for 6 cents. Meaning he was able to buy $100 worth of stamps in Spain and then cash them in for $600 worth of stamps in the United States. (Olden days of foreign exchange trading).
Anyway, he was able to devise a scheme where he would promise 50% return on investment for 90 days. This I believe could be the first ever recorded High Yield Investment Program (HYIP).
To keep things short since I am not a good story teller, it did not work out. And a lot of people who invested in him was really really pissed. There was an estimate that there were over 40,000 investors that subscribe to a total of $15million in his scheme. He finally got caught and jailed but somehow or rather he escaped. And began another scheme somewhere in US.
So that is how the word ponzi was coined and how every HYIP is branded as ponzi to scam away your money.
There are a few sites on Charles Ponzi. My story version is the ultra short version. If you want the SHORT version then this site might interest you: 'The Ponzi Scheme' and if you want the LONG version then try this site: 'Charles K. Ponzi Website'
It seems that it will never end... but I guess this will be the last program I join. That is until I have more money to roll onto the next program.
Ok, I have just joined another program call AMF Brokerage Limited. This program is like Legisi. It is a long term program that I was introduced by one of the shareholder himself. This shareholder is actually the person I had actually dealt with when exchanging my egold before beginning my escapade this month.
25% monthly for 12 months and to join this program is only by invitation only. I can advertise for AMF but I can not give the referee my referral link until the referee makes contact with the referrer which is me first. Apparently they are quite strict with this and in the terms and condition, they will terminate any members account found advertising their referral link openly.
Another thing that took me into the program is the my referrer also operates an exchange while not affiliated with this program, are closely associated with the program. UniqueGoldExchange is the name of the exchange.
He told me that is what they call 'Private Investment Program'
By the way, their setup is really nice and is just about the same as egold's design and approach. Oh... another thing I forgotten to mention, your principle is guaranteed. If you want to signed a contract with them, no problem they will send to you a contract to indicate their claim.
Reason is that I have been monitoring it again for the past 2 days and notice the withdrawal against the deposit has been reduces significantly. Thus, a point to conclude is that members are leaving their deposits and compounding it or jit shows that more and more members are joining the program.
Note
By no means does the ratio of withdrawal against deposit an indication that it is not a ponzi, scam or even verify that it is a legitimate program.
Ok.... I know I should put this also in my previous post, but I joined another program apart from Legisi. I was contemplating on whether I should post this next program that I joined. Anyway, the new matrix program that I join is call Fical metal fund. It's investment plan is 3% daily for 100 days.
I was thinking since these sort of program is a network marketing (MLM) type I hesitated to post it. Previously I did not thought about this when I said I joined a program called WinliFund but after joining the second one it got me thinking.
These sort of program only helps if you have a good support from you upline. I found out that withdrawal can only be made via your upline and it kinda sucks if you don't know your upline, he/she might not care less about your request . As risky as it sounds, I believe this sort of program could have a better sustaining power than the normal HYIP that you and I may have come across.
Direct marketing, MLM or network marketing has been around for years. And it has proven to be a very sustainable structure for any type of product of service. The only way that this sort of structure could fall is if there is no longer any buyers/investors to support the bottom of the sturcture.
Secondly, the sort of marketing activity has to be done via word of mouth and if there is a great sales person who can sell the product or plan to anyone, again the structure can be sustained.
The key to the success or failure is trust. If the product or program can get people to trust them or their direct sales person, then it can be sustainable and if the program and the person can not be trusted then logically the program or product will fails.
These two funds just started in February 2007, and as they say in the MLM world, the earlier you get in the lesser the risk of losing your money because you are being place higher or closer to the top of the hierarchy.
Another downside to this programs is they don't use e-gold, they use e-points or e-wallets, so for any withdrawal you will need to do it thru your upline who will give to you a rate of exchange for your e-points or e-wallet. (This is how upline makes more money)
To join these sort of a programs, you need to find a sponsors in your own respective country or you can find it via HYIP forums. Just do a search in the forums for the matrix programs that you want to join.
Update
For Fical Metal Fund, apparently the program owner plans to have a new system where all withdrawals can be done directly with the company to their bank accounts.
Today I joined another program. Only one program. I have been eyeing on this program since I started this site. I did not mention this program because I was monitoring it at that time. After 4 months I finally decided to joined this program.
Legisi is the name of the program that I have joined.
Now last year it branded itself as a High Yield Investment Program and they were using a script that was if I am not mistaken a Gold Coder's script. And this script was said to be very unsecured and a lot of this site has been said to have been hacked. (Well sometimes they use this excuse to exit or scam investors) Anyway this program was hacked and many HYIP monitoring site has blacklisted legisi.com because of this reason.
But true to it's objective and promised to their investors, they have finally came up with a new script and upgraded their server and have continue to pay out their investors. Last year their portfolio was about close to 9million and as of today it's portfolio is close to 50million. Also they have rebranded their program to be a loan program rather than an investment program. All in all it could be said that it is the same thing.
The owner of this site is Greg Knight. You can do as search and you will be able to find some interview that he has done to fight of claims that his site is a scam.
Thus, I am finally convinced that this could be a great opportunity. It's total withdrawal against it's total deposit is very small about 0.11 ration. Thus, this program has an indication to be around for a very long time.
A note here. If you want to know if a program has the ability to be around for a long time. In my opinion this ratio would be a very good indicator because it means the program owner has a better room to maneuver in his money management strategy.
HYIP 
