What is a Ponzi Scheme?

A Ponzi scheme is an investment fraud that involves the payment of purported returns to existing investors from funds contributed by new investors. Ponzi schemes often share common characteristics, such as offering overly consistent returns, unregistered investments, high returns with little or no risk, or secretive or complex strategies.

This arrangement gives investors the impression there is a legitimate, money-making enterprise behind the subject’s story, but in reality, unwitting investors are the only source of funding.

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Statistic Sources & References
Source: Statistic Brain Research Institute (Online / Direct Response Mail)
Content Author: Statistic Brain

Date research was conducted: October 1, 2015

What is a Ponzi Scheme?

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