Mr Joseph, an investor into Racksterli Affiliate Marketing Income Programme, writes on the hidden reason why Racksterli didn’t survive for more than 9 months.
Hmmmmmn, I had to take a long breath in acknowledgment of the realities that have been revealed in recent publications on Racksterli.
The fact remains that no matter how thoughtful and wise a founder of a Ponzi scheme may be, no Ponzi scheme can last for too long because of the kind of investors that they attract.
The investors of Ponzi schemes are reactive investors and reactive investors comprise mostly of short term investors.
The disadvantages of short term investors are:
1. They are greedy
2. They invest with fear because of their greed
3. More than 90% of short term investors do not invest with their loose money, they invest with their capital. Some even go as far as taking loans to invest.
4. Their investment is based on the expected ROI. In most cases they are attracted to very high ROI’s.
5. They troop into an investment & troop out with speculations. This means that they are very sensitive to speculation be it be negative or positive.
We must all remember, relate and liken these set of investors to same that trooped into the shares market in Nigeria that crashed barely 5 years after the visitation of these greedy investors.
That period looked like the shares market in Nigeria has brought economic prosperity and boom to all investors and Nigeria as a whole.
The positive speculations brought these greedy investors knocking at the doors of every prosperous stockbroker. Banks whom unfortunately are found to be culprits in this case, witnessed heavy withdrawal and mass exodus from savings accounts to investment in shares.
Suddenly, the expected happened: various companies were falsifying documents just to prove that they pay better ROI’s in order to attract investors and this competition continued until the companies were all overwhelmed with their inability to pay the investors the actual promised ROI.
Lo and behold in reality the shares market in Nigeria didn’t enjoy up to 15years of boom before it crashed.
The truth must be said about racksterli 1.0 that its modules operandi have shown that it is not different from a Ponzi scheme and wether the CEO would like the racksterli 2.0 to remain same or not is left to him and how he runs the business.
The present ROI is practically unrealistic in a long term basis even though I must also point out that its success in a short term is also hanging in a balance.
I must reiterate the fact that no Ponzi scheme last for too long and investors are usually the losers. This is because unlike banks and major finance companies in Nigeria today, the investors capitals are not protected in a Ponzi scheme.
Therefore it’s always a win-win situation for the CEO’s alone.
Some of will continue to jointly sponsor bills in the house of assembly for the government include such schemes in the categories that fall into the group that investors capital must also be protected by government regulations.
This is the only way of saving investors from the untold hardship that always arises from such bad investments.
Written by J.J