{"id":2259,"date":"2017-10-27T04:04:59","date_gmt":"2017-10-27T04:04:59","guid":{"rendered":"http:\/\/emilynews.com\/blog\/?p=2259"},"modified":"2018-02-04T18:42:14","modified_gmt":"2018-02-04T18:42:14","slug":"review-renaissance-invest-part-2","status":"publish","type":"post","link":"https:\/\/emilynews.com\/blog\/?p=2259","title":{"rendered":"Review — Renaissance Invest Part 2"},"content":{"rendered":"

This program has STOPPED paying! Do not invest there!<\/strong><\/p>\n

Analysis of the Investment Plans<\/strong>.<\/p>\n

In Part 1<\/a> of the review, we devoted a lot of time to understanding the details of the RI<\/a> investment plans. Now, we\u2019ll take a look at how profitable they are. As we have said many times in the Emily N<\/em>ews blog, the best way to compare profitability of different investment plans is to calculate their daily net interest rate (DNI). In case you came late, this is the average effective daily net interest paid by an investment plan. To determine DNI, you first have to determine the TOTAL net interest offered by an investment plan and then divide this by the number of days in the plan.<\/p>\n

<\/a><\/p>\n

For the RI<\/a> investment plans, since they all return your investment at the end of them, your earnings from a plan represent NET earnings or profit, assuming, of course, that the program survives till the end of the investment plan term. But, let\u2019s proceed assuming this will be true. You then divide these earnings by the length of the plan in days to get DNI.<\/p>\n

As we found out in Part 1, the total net interest earnings for the three plans are as follows:<\/p>\n

Starter Plus — 206.4%
\nRegular Plus — 232.2%
\nAdvanced Plus — 258%<\/p>\n

To refresh your memory, we obtained these numbers by multiplying the daily interest rate (not paid on weekends and holidays) by the number of days for which it is paid. RI<\/a> uses 129 days as its estimate — realizing, of course, that this will depend a little on what time of year the investment is made because holidays are not evenly spaced over the year. For example, the total net interest, 206.4%,\u00a0 for the Starter Plus plan is determined by multiplying 129 by 1.6%.<\/p>\n

To get the DNI for each of these plans, you divide the total net interest earnings by the length of the plan. All the plans are 180 days long. So, their DNIs are:<\/p>\n

Starter Plus — 1.15%
\nRegular Plus — 1.29%
\nAdvanced Plus — 1.43%<\/p>\n

We always refer to HYIP Insights #<\/em>12 (that you can read here<\/a>) where it is suggested that investment plans with DNIs less than 1% are most apt to be sustainable in the long term whereas plans with DNIs greater than 2% are apt to unsustainable. Between 1% and 2% is a gray area where anything can happen depending a number of factors. Well, all of the DNIs for the RI <\/a>investment plans are high enough to provide attractive earnings but low enough such that the plans — and the overall RI<\/a> program — can be sustainable in the long term. You might want to refer to HYIP Insights #16<\/em> for a discussion of a number of factors that can influence the sustainability of an HYIP. You can read it here<\/a>.<\/p>\n

To put these DNIs into perspective, multiply each of them by seven to get the interest you will earn per week:<\/p>\n

Starter Plus — 8.05%
\nRegular Plus — 9.03%
\nAdvanced Plus — 10.01%<\/p>\n

From my point of view, effective interest earnings in the neighborhood of 10% per week are FANTASTIC! If a program promised more than this, I would be very skeptical of its ability to survive. Remember that your favorite bank on Main Street is probably only offering you 1% or 2% per YEAR!<\/p>\n

It\u2019s worth noting that, since the highest interest investment plan has a minimum investment of $1,000, the number of investors in this plan will be limited. This will relieve some of the pressure on RI<\/a> in-so-far-as making high interest payments is concerned. Most of the RI<\/a> investors will be in the lower interest programs where the minimum investment requirements are much less.<\/p>\n

It appears that RI<\/a> will have compounding in the future but that it is not activated yet. This isn’t completely clear to me at this point. But, the FAQ says:<\/p>\n

Can I activate and de-activate compounding option at any time?
\nNo, you cannot do this, but in the near future this opportunity will be available.<\/p><\/blockquote>\n

<\/a><\/p>\n