What is diversification
Many people believe that diversification is a policy of earning, in which it is easiest to make money and not go into the red. Is it true?
Financially, including in HYIPs, diversification means that you cannot keep all funds in one place. Better in a few, and even better in many. Any financial professional will confirm this. However, the hype sphere sometimes lives by its own laws.
Let us announce several advantages of diversification. The first is the reliability of investments. Any investor strives first and foremost not to lose money. This mainly concerns projects with a high degree of risk, the closure of which can occur at any time. This is common in hypes, and, of course, no one will return the money. And investing small funds in different projects with different income levels, you can not only not lose, but also increase investments.
The second plus is the ease and speed in tracking the situation in different projects and the possibility of redistributing money in them. For example, you can bring different remote controls and PAMMs with low income, and highly profitable highs as well. The main thing is to be able to quickly transfer money from a suspicious project. Signs that the hype will soon be bent may not be noticeable – failures began in the Personal Account or the referral link was not credited. But it is important to notice this in time.
However, there are also negative aspects to diversification.
Often, Internet investment teapots think that the best option for investing in projects is to invest a certain amount in several random projects and not worry about losing money. About 95% of the above unfortunate investors lose all their investments. And the reason is that hyipas act according to their own laws. A huge corporation with multi-billion dollar investments and up to 5% profit per month can be analyzed and predicted exit points. But the hype system is unpredictable. Too many factors play a role here – both the mood of depositors and the will of administrators. One of these factors can cause the end of the whole hype. Winding up on the finest diversification strategy will turn out to be completely win-win with an illiterate choice of projects in which you cannot timely calculate the exit point and react.
Always when working with hypes, it is necessary to analyze, assess the riskiness of projects, monitor the mood of investors on various Internet resources, and listen to the views of investment partners. These methods can weed out unpromising projects and increase the ability to derive maximum benefit from diversification.