Hi all,
Just got interesting article from web. Just read it... Is Swisscash SCAM????? I hope not.
Thank you for Yosev.. I post your article here...
Dear friend,
I am just a watcher, unfortunately and sadly, my observation somehow told me that Swiss Mutual Fund 1948 or Swisscash was a scam. A legitimate company especially when it deals with investments would always give extra care in terms of due diligent and integrity. Such company would go extra miles (more than what is needed) to show these values.
It doesn't mean that an investment company that always performs is a legitimate one, it has to do more than just performing what it says, it has to also do it according to the acceptable investment principles.
First; a very high rate of return (fixed), this is impossible. A legitimate investment company will not give a fixed rate of return. They could give a fixed interest but at a low rate. Yes, one can argue that we can earn so much from money market or index. It is true but it's only for a short period of time, it is impossibe to do it over and over for a long period without also incurring a loss that is not small which could reduce significantly the total gain, which in the end the gain is not too much. A very good fund manager could gain up to 120% per annum (not per month) which no guarantee the same gain can be achieved again in the following year. Swisscash promises 25% (fixed), this is absolutely a scam, yes one can argue, it pays, still, it is a scam no matter what, and time will tell that it is a scam.
Second; an investment company always can explain when asked, to where it actually invests, Citibank Wealth Management Banking, can always explain which stock markets, money markets, etc.. it invests in. Swiss Mutual Fund 1948 (it's the name and it doesn't mean it was established in 1948, who knows?) does not disclose this information, which by itself already puts it as "not fitting" to act as an investment company. So it is a scam.
Third; an investment company will not touch the investors' fund without their agreement. It doesn't matter for what ever reason, it is forbidden to touch the funds without it. Swisscash breached the golden rule of investment by converting investors' fund to ACF. Only a non-legitimate investment company would do such thing.
Fourth; an investment company will always communicate well with the investors when it moves office, temporarily is closed for renovations, etc.. Swisscash main contact with investors is not an office or even a telephone communication. It only communicates through website, so it is expected when something big happens, it gives an explanation at least 2 weeks prior, to let the investors know. Swisscash does not do this. Yes, it was mentioned before that in 2007 there would be a rebranding, and so.. and so... but still everytime it is going to make something to their website that would stop investors to log in, it must give a clear and undisputable information, when it fails to do, it only means that Swisscash is not a legitimate invesment company hence it is a scam.
There are many other factors but the above I think should be enough for new people to read so they can make their own decisions. When someone already knows that the company is a scam and still want to invest, such person cannot be disappointed when the company is gone. But when someone is made sure that it is a legitimate one but somehow it is not and turns out to be scam, you are entitled to be disappointed. Yes, there is risk in investing, but the risk is due to the fact that it may not perform, not due to the fact that the company runs away.
