Market Discussions

I've wondered why there isn't a "savings bank" since profits on ISK seem easy to come by, i ran into minevest recently. Is legitimate? It looks like it is. But its scant on details which makes me get the "scam" feeling. Are there other, similar corporations / enterprises ?

thanks for your time in advance.

I personally can make say 5% on my money in a short time. Surely a large enterprise can scale that by a huge number. I googled what you said and found some scams but i dont see why the concept is inherently a scam.

Bank of America at the end of my street is a savings bank (among other things) no clue what your getting at really. Is it just that for whatever reason the "quick buck" just is impossible for eve players to resist for some reason?

Other than "its a scam". Not saying your wrong, i'm just not seeing any reasoning of why the concept is a scam.

Probably a third of the people reading this post could offer 20% a month to people on their money and make more than that, i dont see why a corp couldnt do that en masse. I just would rather not bust my ass to do it if i had the option.

isnt this the same thing as investors that give a guy say a 10 billion loan and expect interest payments? im not seeing the difference. Its just a question of credibility / trust between the lender /borrower? This is just over a longer period of time... (see my previous post for a more detailed explanation of my confusion)

If isk is easy to come by why would anybody good at this game ask for isk from other people and then be obligated to let them in on good investment ideas and force himself to have to file all these reports and deal with investors asking questions?

Should not you ask yourself why is this guy asking you for your isk if he has good ideas on how to make isk? Such a guy would not need your isk and your bother.

This is actually insanely incorrect. Usually it's the other way round: It is very easy to make profit on a small amount, but try keeping the same percentage with billions is a different story (and usually involves manipulation which is much more risky).

The concept isn't a scam, no. I mean, this one is pretty clearly a scam, but there could be non-bank scams.

Ask yourself this: is ~20% interest a month for doing absolutely nothing to good to be true?

And why would this be not a scam? There is zero reason to believe that this corp is trustworthy.

And when asked for an API or something else to proove just that it got verry silent.I really doubt they got as much as they claimed , probably only walked off with a small % of that even.

Still free isk is free isk i suppose .

Sadly it doesn't work like that. It is easy to make 5% (or 500%) on small amounts but very, very hard to make that on large amounts. Most eve businesses are fairly time intensive and you can't just add an indefinite number of new businesses to your portfolio to scale up your business earnings indefinitely unless you have a corresponding indefinite amount of time. There are very, very few businesses that can absorb hundreds of billions in capital with a) a workload that is acceptable, and b) a decent return, partly because there is a huge amount of isk in eve and a great deal of competition for the high volume, low workload markets.

A year or so ago, Tornsoul (who runs a longstanding investment bank with c. 250bil of capital) asked on MD what the largest amount would be that a business plan could return a 1% profit on per month. The best answer was something slightly over 10 trillion but this was achieved through a very active use of only 100bil (earning 100% returns per month, equalling 1% on 10 trillion) rather than through using the whole thing. It seems that if you are going to actively manage isk, there comes a point at which the most efficient thing to do is just leave most of it to one side and extract as much profit as you can from a smaller amount.

Which leads to a second point. Since there is little, or even negative, added value in utilising very large amounts of capital over utilising smaller amounts this raises the question as to why any bank manager would want to raise very large amounts and then give most of the profits to his or her customers, rather than raising a much smaller amount and keeping almost all the profit for themself. The return on time invested for a bank manager managing very large sums are exceedingly poor, to the extent that it is a bad economic decision to run a bank in the first place. This obviously leads people to suspect that those who want to run banks intend to profit from them in other ways.

so you said MineVest will fall to same fate with 4.5% interest/week (19.25%/mth)?