Trading Programs explained for the be...

Trading Programs explained for the benefit of Sophisticated Investors

Posted in the Banking Forum

Wealth Facilitator

Kew, Australia

#1 Sep 8, 2010
Trading Programs explained for the benefit of Sophisticated Investors

Although it is a deep dark secret, banks issue debt instruments - senior, unsubordinated notes. Various terms, various interest rates. The purchasers of those notes buy them at a discount and are paid interest annually. At the end of the term, like any note, the bank pays the face value of the note.

These bank instruments are bought and sold by licensed "traders" - companies that are registered with the various agencies to purchase and sell these investment notes.

There are very tight regulations surrounding the purchase and sale of these notes. A large buyer can arrange to purchase billions of dollars worth under a contractual agreement spanning one year. That buyer might pay the issuing bank as little as 30 cents on the dollar. He sells it to an investor for fifty cents on the dollar and buys it back for 70 cents. Then he sells it one more time to the "exit" buyer - probably a pension fund - for --- maybe 82 cents.

He needs a pool of investors to be the 50 cent buyer. He does not use their money - simply shows their money blocked in their own bank account and draws a credit line against that cash. The note changes hands - he buys it back and the investor shares the profit on his re-purchase - they share part of the 20 cent difference between 50 cents (their purchase price) and the 70 cent repurchase by the trader.

Those trades happen once a day, Monday through Thursday. Friday is settlement day - house cleaning day. Anything that is outstanding is paid; bank records are confirmed, etc. etc. The following Monday, the week's earnings are sent to the participating investors.

There is a little catch - these special investment programs are not designed to make people rich. After a certain amount of income, the funds must go to pay for projects. General rule is 30% of the income can be used however the investor wants. 70% must be spent on project funding.

If you think about it, every project benefits mankind. The high-rise will provide housing, employment during and after construction; creation of materials ..etc. etc.... Do NOT consider these investments as "get rich quick" schemes as they are designed to improve the world little by little. They are also very tightly regulated.

PLEASE CONTACT - Paul McDonald, e-mail: [email protected]
BS Spotter

Bellflower, CA

#3 Sep 10, 2010
Nice "cut and paste" job and then call it your own!
Wealth Facilitator

Kew, Australia

#4 Sep 11, 2010

This time you are speaking absolute BS!!!! You are completely out of order with far too much time on your hands.

Quote me exactly where you have prevously seen my post.
BS Spotter

Bellflower, CA

#5 Sep 11, 2010
Paul, have you EVER closed any deal mentioned in your post? Your comments are a reflection of your failures. You have received someone's explanation of how things work and you soiled it with your own concepts, learned in the internet university.

Peddling insurance packages does not qualify you to try to peddle the kind of stuff you have been trying for quite sometime.

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