۞ Shajirr's Investment Fund ۞ [CLOSED]

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The only time I can remember this happened is the great CoE fiasco. So if I somehow invested all my curreny into buying tons of CoE's only and suddenly the nerf hit it would have been really bad.

Investing into a variety types of items usually helps to mostly avoid such risks - even if something decreases in value, overall it wouldn't be a significant hit.

Skirting the question, what do you do when you take a hit? What happens when you take a significant hit? You only talk about what happens when it goods, there's no talk on what happens if things go downhill.

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Usually I try to use only popular enough items that are sure to be sold. If something doesn't, then again I can always resell for the same price I bought the item with, and just get a different type of item instead. Since there are no taxes, this process doesn't result in any losses.

You cannot "always resell the same price you bought the item with." Nor does the person sometime want a "different type of item." The process doesn't result any losses if you manage to sell the item the same price or higher.

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Well once an item is bought I use that price at that time for determining my share.
Note that this will be done only once, initially - later on I will just update my share the same way as for everyone else - by distributing the profit that was made.

Who has that metric, your the only that determines WHAT is YOUR share and you pay yourself and determine what is the "price you bought it at." There is no system of checks and balances and you can easily fudge numbers.

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There is no tax. I only take 10% commission if people invest an item instead of currency, because I have to liquidate it first. If you invest in currency it goes to your share as 100%

Just because you call it commission doesn't mean it's not a tax. ~.~

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Currency rates don't really affect your share in any way. The only time when they matter is when you want to retrieve a non-even number of ex, then it is done using the current average conversion rate.
As I said in the first post, if someone decides to retrieve their share, he does it one week in advance. Usually it should be enough time to get the required amount of currency.
Basically I have to not fuck up. I have a trade log, with backups, so there is little chance of losing it. Plus there is always a chat log to cross-check stuff.

Current currency rates doesn't mean it was the same that you originally invested compared to the time you sold that particular item unless we get share of profits regrade-less if my original investment sold or helped you to begin with. If my share is 3 exalts but this week exalt is 60 chaos to 1 ex as oppose to 65 chaos to 1 ex of last week. Can I ask for you 65x chaos x 3 compared to the week I originally invested or do we do this week which technically I'm jipped. What if after you split your shares the currency you invested in goes down in price compared to the requested currency that the investors wanted to be paid in. Do you just lose out on money paying out people?

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Well even IRL you aren't really completely safe either, there are numerous ways people can get away with your money even when you are supposedly protected by the law.

I can say that since I plan to play for the long time, gaining a bad reputation is simply not in my interest as it would hurt me more than any short-term gains I might make.

People will be able to judge by the fund's performance.
Plus later you will be able to ask current/former investors to confirm the information provided here.

Current/former investors don't run the business, they just provide feedback of they made money or not. Nor are they valid people to confirm if you are safe or not. There is nothing stopping you from growing big and then cashing out by stealing everyone shit all at once. Obviously your not going to cash out when your small. People do it all of the time in real-life and you aren't any different. We are talking about a game where if you made off with 1k exalts, GGG wouldn't do a single thing to you and you will still be able to trade completely freely outside of the people you upset.

Personally I don't care if people invest in you or not, I'm just merely pointing out your business plan sounds too good to be true like everything will be perfect all of the time and sunshine and rainbows. The people that even invested in you are just giving you items to sell for them and you take 10% off the "profits." That isn't even investing, they are literally just too lazy to sell the item themselves. They are paying you a fee for a service you are doing.

Besides you have 0 credentials or history, like why are you doing this to begin with. Obv if you have the perfect plan to always make profit why aren't you right now? I don't see a history of you yourself making profits to prove that you can. I don't see a general business plan or shown skill of how you do things. If I gave you 100 exalts do you even know what to do with it? Have you even handled that much currency and know how to deal with things on that scale.

If you want people to seriously give you actual currency your going to need to put a little bit more (okay alot more) work then just a fourm post with a summary of the vague idea what's going on.

Investment fund in these tough economical times?

good luck too ya.

I will be in touch on game when you have some free time Araycan :)

One thing I was wondering about the rules.. do you think it would be a good idea to have a waiting period from the time of investment before it can be withdrawn? so that a player can not chuck in 100 exalts the day before the profits are published, then withdraw them one day later.

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Varkorium wrote:

I will be in touch on game when you have some free time Araycan :)

One thing I was wondering about the rules.. do you think it would be a good idea to have a waiting period from the time of investment before it can be withdrawn? so that a player can not chuck in 100 exalts the day before the profits are published, then withdraw them one day later.

Yeah I need to clarify this.
Any investments that are less than a week old are only eligible for the distribution of profits made after the investment. So if anyone decides to invest 100 ex an hour before report and withdraw it an hour later, he will just get his 100 ex back basically.

Also, after you request to return part or your entire share, it is also removed from profit distribution which will be made after that date, since I will not be able to use your share after that.

RagnarokChu

Losses are shared the same way as the profit.

Lets say GGG decides to go a nerfing spree and nerfs one of the items I have atm. Let's say it comprises 10% of the fund's total, and it drops in value 2 times. This means the fund as a whole loses 5% total on this transaction. However, 90% of the other items will most likely make profit, or in worst case scenario break even. So that 5% loss will most likely be compensated by profit made from the other items.

So far out of a hundred last deals the times when I was not able to break even or make a profit was two, I already mentioned this. And it wasn't some crazy 50% price drop, it was 0.5ex below buying price in each case, that was enough to sell back the item.

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Who has that metric, your the only that determines WHAT is YOUR share and you pay yourself and determine what is the "price you bought it at." There is no system of checks and balances and you can easily fudge numbers.

Well this is true, but lowering the numbers will mean less profitability - less people interested, and more people withdrawing their investments. So it is basically digging a grave for yourself in the long run.

Can I ask for you 65x chaos x 3 compared to the week I originally invested or do we do this week which technically I'm jipped. What if after you split your shares the currency you invested in goes down in price compared to the requested currency that the investors wanted to be paid in. Do you just lose out on money paying out people?

This is an interesting problem, I should clarify the rules on this.
Payouts will be in exalts. The shares listed will also be in exalts. Initial investment will also be listed in ex, regardless of what currency will be used, converted at the current rate. Only the part that is less than 1ex can be withdrawn in alternative currency.

What you say is true, I don't expect anyone investing massive amounts of currency when my share is around 30-40ex at best.

However, as I said before, people should judge whether the risks/time of investing their currency is worth it or not. Building a reputation is a matter of time. People will be able to make better decisions when the actual performance data will be posted.

Obviously since I traded just for my personal gain before nobody knows me since there are hundreds/thousands of people doing exactly the same, often at much higher volumes.

The weird looking things in your title make me not want to trust you

He is not holding a gun to anyone's head guys. I am personally investing for FUN! I completely understand that the real risk is to lose 100% of everything invested. (no offence Mr investment manager) :P

I have no use for my Standard gear, so it is basically risk free for me.

Maybe one day Araycan will turn my investment into enough that I can go buy BiS Uber GG Mirrored gear and mess around on Standard for fun, actually giving me a reason to play there between leagues!

If you're legit you should charge 20-30% for your services, more for smaller investments. The book-keeping sounds like a nightmare. I would write a program or atleast a spreadsheet.

Who is Shajirr?

Do you have references? Does anyone in the community even know you?

Are you a good/elite trader? What are your credentials?

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Chromewarrior wrote:

Do you work with corrupted uniques? i may have one or two that i dont use anymore and im too lazy to sell them myself

Depends. Often they have uncertain value and selling probability.
Link the items what you had in mind.

well it seems liike somehow my items dissapeared or i alrdy sold them, idk, anyway i was looking deeper into this discussion and it seems quite complicated for me to invest with this system as im not a constant poe player, i can be playing 9 hours one day then not playing for 2 days.. etc. The idea is quite interesting tho so ill leave my best wishes to you and all your investors.

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MatrixFactor wrote:

If you're legit you should charge 20-30% for your services, more for smaller investments. The book-keeping sounds like a nightmare. I would write a program or atleast a spreadsheet.

I'll consider dropping the % later on. For now the 50% stays.
Book-keeping is being taken care of since even before this project I already had a log of all of my transactions, just continuing to use it.