The ElTrade Investment Plans.
Let’s begin our review of the ElTrade investment program by repeating what we said in our “First Thoughts” article about it concerning their eight investment plans:
Now let’s get to what’s of most interest to the online investor, the ElTrade investment plans. There are eight of them and they all run for 180 BUSINESS days and pay interest, likewise, only on BUSINESS days. This is actually a very wise procedure for an online investment program — any business in fact — as business days are when companies earn their own revenues. 180 business days translates into around 245 calendar days. So, these are definitely long-term investment plans. The interests that these plans pay range from a low of 0.8% per business day to a high of 3.2% per business day. However, it is important to note that at least the four highest interest plans have such high minimum investments ($10,000 and higher) that it is very unlikely that they will be used by the online investor. All of the investment plans return your investment at the end of the plan. When we review the plans, we will get into the details of exactly how profitable (and risky!) they are and will also work a few examples of earnings you would receive from them for typical investments. Our review of ElTrade should be ready in a few days. Please stand by.
Here are the details about all eight of the ElTrade investment plans as given in their website:
Plan Name Min Invest Daily Rate
Light $10 0.8%
Light Pro $500 1.0%
Medium $2,000 1.2%
Medium Pro $5,000 1.4%
Strong $10,000 1.6%
Strong Pro $15,000 2.2%
Aggressive $25,000 2.8%
Aggressive Pro $50,000 3.2%
Analysis of the ElTrade Investment Plans.
In our First Thoughts article we briefly noted that the four highest interest investment plans offered by ElTrade might be beyond the reach of almost all online investors. This is certainly true as the lowest minimum investment for any of them is $10,000. However, aside from the inability of the typical online investor to come up with this kind of money, we at EmilyNews must strongly advise AGAINST a person investing large sums of money in ANY online investment program unless the program can provide positive proof of its long-term successful record as an investment platform. This is the same information that you would expect to know about a company you would invest with on the stock market or that you would expect to know about your neighborhood bank before making a substantial deposit. You would like to be SURE that the company or bank will be around when you would like to cash in on your investment. With smaller investments, a person can gamble a little. And, this is pretty much what online investing in HYIPs is. Please refer to HYIP Insights #*4 for an article that we entitled the “HYIP Game” for our thoughts on this. This paragraph is not specifically aimed at ElTrade; it applies to all HYIPs. We try to give honest evaluations of HYIPs in our reviews. So, if a word of caution to our readers is necessary, we feel that we must speak up.
With all this as an introduction (and explanation), we will not discuss the four higher interest investment plans offered by ElTrade in this review. I must note that even the Medium Pro Plan with a minimum investment of $5,000 is getting a bit high for the average online investor and that investing in it should not be done without a great deal of thought beforehand.
In our First Thoughts article we noted that all of the ElTrade investment plans are 180 business days long. Since there are roughly 22 business days in a 30 calendar day month, you multiply 180 by 30/22 to get an estimate of the calendar day length of these investment plans. It comes out to around 245 days. This is a long time, slightly over eight months. At this time ElTrade will return your investment. So, assuming that the program survives until your investment plan ends, all of your earnings will be profit. This could be a big assumption as, unfortunately, very few HYIPs last this long. Of course, we would hope that ElTrade will be one of the rare long-lived programs that come along now and then.
It is important to keep in mind that there are different ways in which investment plans can return your initial investment. In order of preference, with the best option first, here are the three possibilities as I see them:
- Return all of your investment as part of your earnings before the end of the investment plan.
- Return part of your investment as part of your earnings before the end of the investment plan and the other part of your earnings when the plan ends.
- Return all of your investment when the plan ends.
Needless to say, the worst alternative is the third option because your entire investment is at risk until the investment plan ends. Unfortunately, this is the option that is used by the ElTrade investment plans.
Longevity depends a lot on how much interest a program has to pay its investors. Looking at the gross interests that ElTrade promises its investors, you can see that they are on the low side, although they are not exceptionally so. I should correct myself on this and say that they are NET interests as ElTrade promises to return your investment at the end of its investment plans. These interests are paid only on business days. Let’s see what the average daily net interest (DNI) is on a calendar day basis. As an example, for the “Light Plan,” the total net interest that a person would receive would equal the daily rate of 0.8% times 180, the number of business days in the investment plan. This comes to 144%. Dividing this by 245, the number of calendar days in the investment plan, you come up with a DNI of 0.59%. This means that, on the average, assuming that you receive your investment back at the end of the plan, you will earn 0.59% per calendar day over the life of the investment plan. If you do this same arithmetic for the other three investment plans we are analyzing in this review, you will come up with the following results for their DNIs:
Plan Name DNI
Light 0.59%
Light Pro 0.73%
Medium 0.88%
Medium Pro 1.03%
Finally, before we get into the pros and cons of the ElTrade investment plans, let’s determine how long it takes each of them to break even. One way to do this is to divide 100% by the interest you receive per working day to get the working days to break even and then to convert this answer to calendar days. Let’s use that method. For the Light Plan, you divide 100% by 0.8% to get that the plan will break even in 125 working days. Multiplying this by 30/22, you get that this plan will break even in 170 calendar days, getting close to one half year. Doing the same calculation for the other three investments plans that we are considering, you get the following results:
Plan Name Calendar Days to Break Even
Light 171
Light Pro 137
Medium 114
Medium Pro 98
Well, this is probably more than enough for one blog article! In Part 2 of this review, we’ll discuss all this and talk about the pros and cons of the ElTrade investment program. We’ll also work a few examples of earnings that you can expect to receive from this program. Finally, we’ll try to make general conclusions as to what we think of the program. Please stand by for rest of the review which we should be able to publish sometime in the next few days.
*********************************
If one of the paying programs on our Monitor appeals to you, please support EmilyNews by registering for it on our website. Thanks very very much!
*********************************
Be the first to get most important HYIP news everyday!
Simply Follow EN Facebook, EN Telegram, EN Twitter
or Subscribe to EN Feedburner and submit your email address!
If you like this article, please share it by using the social media buttons below.
