NSFG 2/2006
So the chart now is a little different comparing to the last one:
On 15th March 2006, in a mid-week newsletter, MPDW Admin announced the membership about some strict measurements that were effective immidietly at that time.
These measurements were as follows:
# 1)
Each unit must now mature for 26 weeks. All units start at 0 weeks maturity today. This new feature applies only to sell-backs. You may still withdraw from your Returns Balance.
# 2)
We have raised the minimum purchase to 20 units. (This is for New Members Only)
# 3)
Minimum withdrawal of returns is now 3 units.
# 4)
There are no more emergency sell-backs.
The changes were under preparation for a while since the Admin asked similar questions from the members in a fair, democratic way, that is very rare in HYIP world. There is no statistics publicly known about the result of that questionnaire. Hypothetically, several members answered that they would agree with the higher minimum purchase and withdrawal but hardly anybody thinks that there would have been any member voting for the long maturity time.
For the sake of better understanding we should investigate the background and context as well as the impacts of these measurements.
Minimum purchase
Minimum purchase raised from 5 to 20 units, that is now 20 grams of gold equal to ca. $360 (for New Members Only) and there is an additional 5% admin fee, altogether that is about $380. The reason for that could be that MPDW would like to have more sophisticated investors in the future. The effect could be that the influx of new funds and investors decreasing, less administration needed and the communication with the sophisticated investors will be easier. I think it was a good step. Comparing to others, the minimum investment at Udachu is $1,000; at FXIG $5,000; at PSHI $2,500 but $100 at NSFG, FX-Experts and PIU.
Minimum withdrawal
Minimum withdrawal of returns is 3 units that is approx. $54 is could not be a big problem.
Maturating time
Maturating time is 26 weeks even for the old units – this is the big problem for most of the investors. This is the issue that only few investors can or intend to understand.
I think MPDW was the most disclosed program until NSFG turned up and the judgement of MPDW was unambiguously positive until a never member started to attack it maliciously and fraudulently in HYIPD forum. Naturally, some ever malicious people followed never member at once. Later the fraudulence of the accusations was proved undoubtedly and never member disappeared from HYIPD forum for a while but the wound that was caused by that attack has not healed completely when never member came back and trusting in that most people forgot his earlier fiasco, he continued his fraudulent accusations against MPDW. Needless to say that those ever malicious people backed by the accusation again and the fraudulent rumours and accusations started to escalate.
A week earlier MPDW Admin was under the weather and as a consequence the payouts were a bit slower than usual though they were far within the deadline. Several people attacked MPDW for this and when the Admin came back to work full time, never member and company started the new attack.
I tried to imagine myself into the position of MPDW Admin and feel the arrogant and fraudulent attacks repeatedly and see how these rumours and attacks are escalating.
I think the most important tasks for an Admin are to preserve the deposits of members and ensure the longevity of the program at a suitable level of return. If the repeated and escalating attacks threat the existence of a program, the Admin has to take suitable measures. It's a must for an honest admin while a scammer runs away in such a situation. MPDW Admin did his charge and took the measures without delay.
(Nevertheless, I think defending a program is also an obligation as well as an interest not only for the admin but also for the members at the same time. I saw several cases when the members defended the program or the admin. Why didn't and don't they do so in case of MPDW? It's a secret for me.)
There was no much time to consult with the members about the necessary and possible measures since the admin supposedly wanted to make the changes well before the next withdraw cut off date but he did not want to allow the principal withdrawal at that time. I think taking those strict restrictions against the members’ short term interest was a brave action, leaving the program to pull down by the fraudulent attackers and malicious fence sitters and complaining whilst the program dying would have been easier than that.
These strict measurements cause pain to several members. There are a new feature that helps members who want to go out to manage to do so. MPDW staff endevours to explain the reasons and the advantages of the changes to members.
I do not think these changes show ponzi signs:
are certainly not ponzi signs.
Nevertheless, changing the TOS at the last minute or after the last minute was not a nice action. Time will tell whether the changes succeed the members' and the management's common object.

Comparative Analysis
NES project is still in its initial phase since there are hardly any members "in their money". I think when people will see that others have steady every day's income and discover that NES is a kind of pension fund (just better) then probably more and more people will intend to join.
Earlier this week I was personally visited by a pension fund agent. She is selling special pension and insurance package of one of the biggest
Comparing NES to that insurance program in figures, I think gives us more than a long verbal explanation:
| Insurance program | ||
| Total invested during 20 years $ | 24,000 | |
| Total maturated $ | 476,651 | |
| Rate (total maturated/invested) ca. | 20 | |
| Never Ending Stori | ||
| | NES 0.10/d | NES 0.05/d |
| Total invested | 100 | 100 |
| Daily accrual $ | 0.10 | 0.05 |
| Days needed to reach $100 per day | 1,000 | 2,000 |
| Sum earned during growing to 100 $ | 50,000 | 100,000 |
| Sum earned during 20 years $ | 630,000 | 530,000 |
| Total earned during 20 years $ | 680,000 | 630,000 |
| Rate (total earned/invested) | 6,800 | 6,300 |
The essence of the table: comparison of a high reputation insurance + investment program and NES, taking a 20 years long cycle time into consideration.
Assumptions and results: the insurance program needs $1,200 investments yearly, its return is 8% yearly. We can see that the total invested $24,000 grows up to $476,651 that is almost 20 times higher than the sum of initial investments. Nevertheless, this program gives an insurance for its members.
There are two columns for NES. In the first one we assumed that the daily accrual after breakeven (or in money) is $0.10 while the second contains figures assuming $0.05 daily accrual.
Starting the daily income from zero to reach $100 as daily income needs 1,000 days. During this period we will earn $50,000 – it’s a nice surprise, isn’t it? And we can start earning on the first day after in money…
20 years contain 7,300 days (approximately) we used 1,000 to reach $100 per day and if there is no accrual after that, we will earn $100 during 6,300 days. So totally we can earn $680,000 during the 20 years period that is 6,800 times higher than the initial investment of $100.
The second column gives a bit weaker return with $630,000 total income.
NES is typically a long term program which necessarily starts slow. It has many features causing to the slow start. We can take these factors into consideration and can suggest measurements to program administration and we can also take steps to improve the view of the program.
(1) Projected long time before the income really starts to inflow to your Pecunix (or other) account.
In the program description and other communication sources a 90 days terms come up several times. It is too long for a typical HYIP fan who is accustomed to the max. 30 days terms. The 90 days terms only mean that probably reach the break even and then there should be another long period till you will be in your money and you can really earn just after that. There is no any prediction for the time necessary to earn $100 or $500 a day.
I would like to remark here that Goldenrocks started its operation in the fourth quarter of 2004. They started dynamically grow in August - September 2005, that means 9-10 months after their start but Goldenrocks is a simple structured program (there were some changes in April 2005 or so but the structure was always simple)! It was just because people did not trust them so time and experience of others were needed to many people believe in it and they can imagine that they also can earn with that program.
NES probably need much longer time to reach success than Goldenrocks did because of the other reasons listed here.
(2) Complicated and not transparent rules, structure and functioning.
The program demonstrations, descriptions, analysis’ available from the “Editor” and from other sources (blogs, forums, etc.) cannot explain clearly how is the program functioning. Majority of people like clear, accountable rules and transparent structure. There is only a minority of people who prefers foggy, mystique structures and trusts blindly in the program administration.
(3) Low respect of Global Mutual.
There were sever changes in their other programs and there were late payments. Many people think of GM is a scam – well, fortunately they are wrong.
(4) Script glitches that were slowly repaired and badly communicated.
(5) Communication weaknesses.
There is a forum solely for NES but usually there is no answer to members questions or complaints.
Consequently, in this early phase of the program just the sophisticated and GM fan investors can imagine success with this program. I believe, with significant improvement in communication then more and more satisfied members as the program develops, it can be a very successful program of the coming years.