Online investment risks refers to the many challenges that faced online investors. Reasons why online investors might lose their money and run at loss. In this article we’ll explain the many online investment risks that online investors have to deal with. We hope this article prepares your mind as you take a step to investing online.
ONLINE INVESTMENT RISKS
1. Fraud Schemes:
The first risk starts from knowing legit and fraud investment platforms. Most online investment platforms/websites are well designed that they look pro and attractive at first sight. The truth is it’s hard to sometimes tell which investment website is real or fraud. In fact most of these schemes now acquire business registration from overseas, create fake profiles to build trust. They pay for a while and then they vanish into thin air with Noone to be held responsible for the loss.
2. Money At Risk:
Not all online investment guarantees return of investment. Take for example the forex trading. Most forex brokers state in their websites that your capital is at risk and that is very bold and clear enough. Most times there is higher possibility that you’ll lose your capital online.
3. Ponzi Schemes:
The majority of investment websites and platforms online are ponzi schemes. They use money from new investors to pay old investors and the circle continues until there is a deadlock. The truth is you have to look very closely before you can figure that out.
4. Shut Down:
This is perhaps one of the online investment risks that people are scared of and for good reasons. Imagine investing $500 in a website only to wake up the next day trying to access the website and getting 404 error response. Most of the online sites can just shut down and this is a major blow to investors.
5. You are not in Control:
Investment websites gives you dashboard to monitor your investments giving you the impression that you are in control. We hate to break it to you that you are not in control. You are at the mercy of the Admins of the website and the technical team. The owners of the investment platforms manage and runs everything for you.
The few reasons above makes online investment a risk. But you can however invest in a physical platform with online presence that offers you good return. You can CLICK HERE to join a WhatsApp group created by a known physical company for real investors.
The WhatsApp group above is for Miropass Investment and its a low risk investment platform that runs for 50 weeks with reasonable return of investment. Online investment risks are much and you should learn to invest wisely online.