Would investing in something like this ever be worth it?

Discussion in 'Community Discussion' started by waloshin, Sep 12, 2010.

  1. waloshin macrumors 68040

    waloshin

    Joined:
    Oct 9, 2008
    #1
    http://www.esecuredata.com/AdoptAServer/Forms/AllItems.aspx

    eSecureData.com's Adopt-A-Server Program

    eSecureData.com's unique Adopt-A-Server allows you to participate in one of the world's fastest growing technology companies, enjoying spectacular return rates with credible risk levels. Invest for as little as $17,000 USD and get a return of up to 20% per annum, compounded!

    Adopt-A-Server with eSecureData.com and you will get 50% of the revenue from this server for a 5 year term. Presently, our Generation 6 Standard servers rent for $179 USD/month. With your initial investment of $17000, you will be adopting 5 servers and will get 50% of the rent ($447.50 USD) per month for 60 months. Your initial investment of $17000 gives you a return of up to 20% per annum, compounded.

    The Catch?

    There really isn't one.

    You gain by:

    *

    Making up to a 20% return per annum
    *

    Getting cash back on a monthly basis with no maintenance whatsoever on your part
    *

    The initial investment is more than paid back in the first 2 years and income from years 3-5 is all profit!
    *

    Making a significant return with a low initial investment

    So after reading that I would assume you pretty much buy them 5 servers for $17,000 and after 5 years there not yours anymore?
     
  2. miles01110 macrumors Core

    miles01110

    Joined:
    Jul 24, 2006
    Location:
    The Ivory Tower (I'm not coming down)
    #2
    Yes, invest 100% of your savings in this immediately.
     
  3. waloshin thread starter macrumors 68040

    waloshin

    Joined:
    Oct 9, 2008
    #3
    No thank you.
     
  4. ucfgrad93 macrumors P6

    ucfgrad93

    Joined:
    Aug 17, 2007
    Location:
    Colorado
    #4
    A guaranteed 20% return and there is no catch involved? I'm sure this is how Bernie Madoff pitched his schemes. I wouldn't touch it with a 20-foot pole.
     
  5. glocke12 macrumors 6502a

    glocke12

    Joined:
    Jan 7, 2008
    #5
    IMO the best investment these days is something alot safer than that..

    Over the years Ive invested money in various stocks and startups and have lost it all. Out of all the people I have ever met in my life, I know less than 3 that ever made significant money in the stock market (this does not apply to those that inherited stocks, or were given stock options through work), I dont know anyone who made money with a venture capital project...
     
  6. Rodimus Prime macrumors G4

    Rodimus Prime

    Joined:
    Oct 9, 2006
    #6
    20% of return with no real catch feels to good to be true.

    Anything that feels to good to be true is 99.9% is not true.

    Investing in it would just be throwing your money away.
     
  7. snberk103 macrumors 603

    Joined:
    Oct 22, 2007
    Location:
    An Island in the Salish Sea
    #7
    The only catch is that if they can't find enough paying customers to fill those 5 servers, plus a whole lot more servers to make the whole business viable, then the business goes belly up and the investors get bupkiss. But, other than trying to grow a new business in this economic client, there is no downside..... Wonder why the banks aren't involved in this one, eh?
     
  8. GfPQqmcRKUvP macrumors 68040

    GfPQqmcRKUvP

    Joined:
    Sep 29, 2005
    Location:
    Terminus
    #8
    The only catch? The only catch is that they say you can make a nearly risk-free 20% in an economy where risk-free rates are well below 5%.
     
  9. heehee macrumors 68020

    heehee

    Joined:
    Jul 31, 2006
    Location:
    Same country as Santa Claus
    #9
    Did anyone not read this? I didn't read the whole thing, but I don't think it says what happens if you want to back out.
     
  10. rhsgolfer33 macrumors 6502a

    Joined:
    Jan 6, 2006
    #10
    I believe the current risk free is .14%. Comparative to this 20% return, a 5 year T-bill is paying 1.59%. There has got to be quite a bit of risk involved in this investment; 20% return is over 18% greater return than a 5 year T-bill (which is relatively low risk). The risk and liquidity premium on this investment are really high. Personally, I wouldn't touch it; anything that essentially promises a 20% return with little risk in a market where little risk is returning less than 2% has to be too good to be true. But hey, if you're willing to take the risk, it isn't impossible that it will pay off; I just prefer to be a lot more conservative than this with my own money.

    That's definitely part of why they would have to pay such a high return. Who the hell is going to buy this investment from you? There is very little market for it.
     
  11. Tower-Union macrumors 6502

    Tower-Union

    Joined:
    May 6, 2009
    #11
    Those two statements should send you running for the hills.
     
  12. samiwas macrumors 65816

    Joined:
    Aug 26, 2006
    Location:
    Atlanta, GA
    #12
    This is the part I don't get:

    OK, how is the initial investment "more than paid back" in two years?? They say, and the math says, that you get $447.50 per month in rent. That means 38 months to recoup that $17,000. Is this 20% return something else? An interest payment? Something tells me that there is some strange language going on here.
     
  13. Macky-Mac macrumors 68030

    Macky-Mac

    Joined:
    May 18, 2004
    #13
    yes, some funny math indeed........and of course if you actually got 3%, that would technically fall within the UP TO 20% statement....by saying "up to" they aren't actually saying you WILL get that return :p

    And of course all this assumes they actually rent the dang servers, because if they don't.......well, you wouldn't even get your initial investment back :eek:
     
  14. King Mook Mook macrumors 6502

    #15
    Again?
     
  15. -aggie- macrumors P6

    -aggie-

    Joined:
    Jun 19, 2009
    Location:
    Where bunnies are welcome.
    #16
    I know some people that would be willing to fund the whole $17K, if the OP would just pay $500 to cover expenses getting the money to him. You can’t beat that.




    :rolleyes:
     
  16. Abstract macrumors Penryn

    Abstract

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    Dec 27, 2002
    Location:
    Location Location Location
    #17
    Was there a first time?
     
  17. Mousse macrumors 68000

    Mousse

    Joined:
    Apr 7, 2008
    Location:
    Flea Bottom, King's Landing
    #18
    The dot-com bubble burst two point oh.:rolleyes:

    If you want a safe investment, buy gold bricks.:D If you want a high yield investment, buy art.:cool:
     
  18. chrmjenkins macrumors 603

    chrmjenkins

    Joined:
    Oct 29, 2007
    Location:
    CA
    #19
    If I were you, I'd invest in a better location description.
     

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