Saturday, November 17, 2012

Zero Loss Investing With Above Average Returns

The typical investor has few choices to invest without risking loss to their capital. The traditional investment choices are cash, stocks, bonds, and options. Each has their own negative side to obtain zero loss investing with above average returns. So how does one obtain zero losses with above average returns?

Cash can be used to obtain zero loss to capital, but it will not normally give above average returns. In today’s environment cash pays only about 1-2% for a one to two year commitment. If it did pay higher returns, you would normally not get the above average growth provided by stocks, bonds or options. One way to invest cash would be to siphon the interest and use that interest to invest in stocks, bonds or options.

The problem would still be that you might suffer capital losses from those investments though technically you are not losing principal.

For example $10,000 invested at 5% would produce $500 per year. If you used $400 of the $500 then there would be no loss to your principal of $10,000 and it would actually increase by $100 no matter what happened to your $400. You might get more leverage and greater reward from using options rather than stocks or bonds, but you still could have losses with the trade.

To invest directly into stocks, bonds or options may put risk into your capital, so using the 96% or more of your capital into a fixed investment and investing the remaining into stocks, bonds or options seems to be the most logical way to avoid capital losses. There is a new investment vehicle that seems to satisfy the requirement of having zero losses with the potential for above average returns. This new vehicle is not cash, stocks, bonds or options. It is keywords.

There are at least two new search engines that have launched. One uses an auction system for trading keywords but the costs to maintain those words that an individual may own, could result in a loss. The other system uses a controlled keyword exchange where keywords are bought and sold within the system and there is no cost to maintain those keywords. What that means for an individual is that they can buy and hold keywords for as long as they want without incurring fees causing a loss to the investor. Further, just by purchasing the keyword an individual earns purchase-share-credits which further translate into weekly profit sharing money. Although the profit sharing is not guaranteed, it has been consistent, growing and reliable.

The other criteria to be met is that it should generate above average returns. The controlled keyword exchange has this covered as well. A recent two month test has shown that just buying and holding keywords would have generated a 0.927% weekly profit sharing return or 48.20% annually.

With the controlled keyword exchange a keyword can only be sold, if the buyer is willing to pay a 15% premium. The buyer can pay more for the word with the hope that the word will bring more profit if the buyer then sells the word. With no losses in this system both the buyer and seller have incentives for higher profit. A keyword may become over-priced but anyone can link to the keyword for a price as high as 15% of the keyword value as well.

Combine this with buying and selling of keywords, getting paid for advertisers linking to keywords and getting paid from referrals, it is not hard to see how someone could easily earn over 100% of their initial investment in a short(one year or less) period of time with zero losses. In fact, the only potential loss to capital might be the opportunity loss from investing in keywords rather than something else. Until that something else surfaces it appears that investing in keywords is a profitable venture. Just ask Google.

Bob K.
Own Keywords for profit, weekly profit sharing, get paid from linking, referrals and more.

No comments:

Post a Comment