I’ve been in precious metal investment for quite a while, and I am retailing physical silver bullion to investors. Often there are investors who previously invested or are investing in a Gold Guaranteed Investment Scheme, come to me and ask who silver investment works. After they know how we invest in silver, they insist that silver isn’t profitable as it gives no cashflow. They still think that investing in the Gold Guaranteed Investment Scheme is safe and it’s the best move ever. I will often reply, “Go Ahead”.
I feel bad for my friends who have been brainwashed and joined the scheme and they simply cannot understand how the real precious metal investment works. There is no free lunch in this world. The scheme, paying 2% to 3% per month just makes no sense at all. Imagine investors are making 36% per year and agents get 1.5%per month, which is 18% per year. The company has to produce a 54% of annual return just to satisfy the promise to its investors and agents. What about other costs and expenses?
If 54% is legit, Warren Buffet should sell all his stocks and migrate to Malaysia and Singapore and get an ROI of 54% per year. That’s ridiculous.
Weeks ago, the company was being sued in Singapore, and the news were all over the country.
Another newspaper article from The Straits Times, Singapore.
That time I was thinking, when it will happen in Malaysia. And it happens YESTERDAY. Check out this news: Authorities in Malaysia, Singapore raid gold trader Genneva’s offices
After blacklisting for few years, our authorities finally took some action.
Special Thanks Daniel Foo of Silver In Malaysia for the photos
Hopefully this can serve as a lesson for those who are being attracted by the cashflow offered. There is no free lunch in this world. Often, greed drives us to losses, because it affects our decision making process. When we want to put money into any investment, we have to make sure we understand how the investment works, as well as other issues such as legitimacy, reliability, risk, possible taxes and so on.
This is just an wake up call for those who jump into investment schemes without prior knowledge and understanding about the investment itself. To understand how gold & silver investment works, you can always visit Silver4u Malaysia’s Official Website to find out more information.