Private Placement Program Review 2020
In this post I explain about a Private Placement Program that I have access to, traded from London here in the UK. Genuine PPP’s are very hard to find, which is why I’m particularly pleased about having access to this platform. There is a great deal of fake programs out there, and some misinformation about what PPP’s are and how they work. For example, you should not be tempted by a trade that requires upfront fees. A genuine PPP trade program is safe and secure (meaning funds are held in a blocked account such as owned by the investor such as MT760 and not actually exposed to any direct risk) and with no upfront fees to enter the trade. If you want to learn more then please contact me and I can refer you to the broker.
The trader I am in contact with can provide bullet private placement program trades, SBLT’s and potentially low entry private placement programs ($1million or above). Returns vary depending on both the type of PPP and the amount invested. They can range from 25% per month to as much as 400% per month in some cases. In some cases, returns can be compounded in order to reinvest returns already earned. For added security for the investor, funds being used as collateral will remain in their name (no handover of funds required) and can sit in a blocked account in their name for the duration of the trade.
Whilst the trader is based in London, in the United Kingdom, investors are welcome from around the world, including the USA & Canada, Asia, South America and Africa.
In this article I will explain more about how Private Placement Program’s work in general, how they can make such high returns as 400% per month, and the different types of PPP and similar trades (such as SBLC’s) available. If you meet the criteria for a PPP (i.e. you have at least $1,000,000 to invest with proof of funds (POF) readily available) then you can contact me I will make an introduction to the broker who can help you proceed with a trade.
Not many people have heard of private placement programs, and those that have often think they must be some type of scam. It can be hard to understand how such massive returns can be achieved, especially when comparing to something like the stock market. I’ll therefore start by explaining what a PPP is for those that want to learn what is behind such high returns and you will understand that this is nothing like trading stocks.
Below is a video I created to explain how one type of PPP is being used as fixed income bond for msaller investors ($50,000 and above). It may be helpful in understanding how a PPP can work, although a direct PPP such as a bullet trade would be executed differently thanks this.
What Is A Private Placement Program?
A private placement program is a particular type of investment that allows access to the marketplace for trading bank assets, most commonly Medium Term Notes (MTN’s), although other assets include SBLC’s, Bank Guarantees and bonds. Medium Term Notes are essentially debt notes, that allow banks and other institutions to lend to customers. These debt notes initiate from governing bodies and are released to a small number of major banks at a discounted rate. From here the MTN’s can be openly traded between banks, pensions funds and other financial instituitions. Because they are released at discounted pricing, there is an opportunity to buy MTN’s and sell them for a profit. The profit may only be small in % terms, but as several trades can potentially be made in a week, or even within a day, the returns can quickly accumulate. Because the trade of Medium Term Notes is essentially using arbitrage (buying for a low cost and selling for a profit) and due to the nature of transactions already having a buyer in place, the trades are very safe and considered to be low risk.
In a more “real world” example, the process is like an investor buying a car for $1,000 and selling it for $1,500, making a $500 profit. The person trading the car knows they will make a profit, and before they even spend the $1,000 to buy the car, they have an agreement to sell it for $1,000 so they know they will not be left holding the car without a buyer. This is why the risk of this type of investment is so low as long as the trading platform is legitimate. It also explains how the returns can be so high and why it should be considered as completely different to the trading of other assets, such as buying and selling stocks for example.
Leverage is also a key component of the high returns delivered by a bullet provide placement program. The minimum collateral required to access the MTN arena is $100,000,000 and yet you will see repeatedly that I have talked about $10million (or potentially even $1million) being the minimum. This is because a $10million asset such as cash can be leveraged to take the total sum available to trade with is $100million.
Now that we understand how the PPP marketplace works and the importance of leverage, it’s easy to see how returns of up to 100% per week can be achieved in a bullet trade.
Example: As an example, let’s assume an investor has $10,000,000 to invest in a bullet trade private placement program. This $10m is leveraged to $100,000,000 and the investor now has access to the market and can buy and sell Medium Term Notes. As a purely indicative return, if we presume that MTNs can be traded for a 1% profit, this would result in a return of $1million per traded MTN, which is in fact 10% return for the investor ($1million return on $10million invested is a 10% return). Now, if we also assume that 2 trades per day are made during the initial bullet trade, this is 10 trades for the week at 10% return each, which means at the end of the week the investor has a made 100% profit.
It’s important to note here that all of these figures are purely indicative, and investors shouldn’t take these returns for granted. Often, it will be agreed at the outset what the expected returns are based on various factors including the amount invested, the type of trade, the term of the trade agreement and so on.
Asset Types Accepted In A Trade
This can vary, but there are many different types of asset that be used as collateral to enter a PPP trade. Some of these include;
Hard Assets (precious metals, gold, silver platinum, diamonds, fine art collections etc)
Inground Assets (such as precious metals and stones (gold, silver, diamonds emeralds etc)
Bank Guarantee (BG)
Stand-By Letter Of Credit (SBLC)
Medium Term Notes
Bank DraftsCertificate Of DepositSafe Keeping Receipts (SKRs)
Gold Backed Certificates
Whatever asset is used, it is important to provide proof of the asset and you will be asked to provide this in the early stages of the process. A trader cannot be expected to give their time to discuss a trade unless they are fully satisfied that the assets for the trade are genuine and ready to for use.
Are PPP’s A Scam?
As you can understand from the above, whilst PPP’s are genuine, there are still ways that an investor can get scammed and lose money. The most common type of scam is to be tricked into investing in a fake program. With so many millions of dollars’ worth of assets at stake, it’s easy to see how it can attract people who would pray on potential investors. An investor should always remember to do extensive due diligence on a trader and not pay any large upfront fees. Most investors are also able to keep the funds in their name and only use the invested assets as collateral, so sending funds to a third party is not required (although for smaller investors of $1m to $10m then it might be necessary to put funds in a collective account).
Definitions And Variations
There are some terms and abbreviations that occur when discussing private placement programs. To help to demystify some of these terms, here is a summary of terms and a brief definition.
These are some terms that are often used when referring to a Private Placement Program, although some of them can refer to different things so be careful if these terms are being used that it is the same as the type of trade being discussed in this article;
Prime Banks Programs
Prime Bank Investments (opportunities)
Managed Buy-Sell Programs
Bullet Programs (accelerated trades)
Bullet trade programs
Medium Term Notes (MTN) trades
Bank Guarantees trading
Private placement partnerships
bullet trading (aka Spot Trading)
You might also hear these terms in relation to a PPP;
Tear Sheet Program – refers to a document (tear sheet) that provides proof of assets or funds.
SBLC – Stand By letters Of Credit (can be an alternative traded asset to MTN’s)
Project funding – PPP’s must provide a good percentage of returns to approved projects. The investor may have a project of their own, or the trader may provide one.
MT760 – for example “block by MT760”. This is a type of SWIFT Message type and can be used to demonstrate a guarantee, i.e. of investor funds.
Low Entry Private Placement Program
Typically, access to a PPP investment starts at $10,000,000. However, it might be possible to get access from $1,000,000 and if you fall into this category please contact me and I will introduce you to the broker who can explain more about the low entry private placement program.
The view expressed on this website are opinion only and I am not a financial advisor. As with everything on the Trade Wise website and Youtube channel, all information is based on my own understanding of these investment products and are unverified by any accredited institutions. You should conduct your own research and due diligence before entering into any type of investment or trade. Trade Wise does not accept responsibility for losses incurred as a result of information provided here or by our representatives.
So that’s it. I hope you found this overview to be helpful and informative. I really do look forward to hearing from you, and my email address is up there on the page, but it’s Jon [at] tradewise.community. You can also get through to me. I’ve got a contact form on my website, which is TradeWise.community. So reach out to me, let me know that it’s the fixed-income bond that you’re interested in, and I’ll send you those rates and you can get much more detail on this product. That’s it for this video, bye for now.