Precision Trader

[RazorX]

Hi all

I have recently come across a group selling a trading system/platform/service (Not entirely sure what it is classified as). It is from the Harrington Group which is a NZ company and they are selling this thing called Precision Trader. They claim you can make $2,000 turn into around $40,000 in 12 months by using this system. Here is the link to their website http://www.harringtongroup.co.nz/

Has anyone come across them before, and does anyone have an opinion, advise, or wise words regarding this? Also (And possibly one for Shasta here) are there any tax implications in running it alongside of an existing business?

Thanks as always

Razor

[arcticblue]

Why would they offer you a share of their profits? If I could turn $2000 into $40,000 in a year why would I bother trying to sell a software program?
It may be a legitimate website and company that does actually sell you a software program, however I'd be very skeptical that it will provide returns like they claim or even long term returns above market performance.

[RazorX]

Hi articblue

That was my initial thoughts. (The reason I'm asking about this is because a relative got called by these people and they got them to sign up to it.) Said person has no experience with any financial market so I was sceptical that they (The company) could claim a complete newbie could achieve such profits. No doubt some of our experienced share and forex traders could turn 2k in 40k in a year but a person with no experience? I did express my doubts about the system so it might be a case of learning first hand. Apparently they 'guide' you for the first year and have experienced traders available to help.

Thanks artic, you confirmed my thoughts.

[Phaedrus]

RaxorX, Precision Trader is what is known as a "black box" system. You feed market data in and get trading decisions out but you have no knowledge as to how they are derived. When such a system starts underperforming, you have no idea of what is wrong or how to fix it.

The best article on Black Box systems that I have seen is this one by Colin Nicholson :-
http://www.moneybags.com.au/downloads/ataasoftware.htm

I had a look at the Precision Trader website and note that "All figures (used) are an accurate simulation of trading exactly on the analysis of Precision Trader". There it is, right there - the profit claims are based on nothing but simulations!

[RazorX]

Hi Guys

Thanks for your advice, and that article was excellent Phaedrus!

I suppose if one has already paid for the system one is stuck with it? My father (Who bought the system) has already paid half, and apparently if he doesn't make 20k in the first year he won't have to pay for the other other half of the system... or so they say. (It's damn expensive too!)

Thanks again guys

Razor

[Phaedrus]

How much is it Razor? (I mean the first half that everyone pays!)

[RazorX]

$3,500 - $4,000 from what I've been told. That's for their 'system' and if he doesn't make 20k he doesn't have to pay the rest. I know the total system is over 7k.

[takescare2bld]

An interesting article i found while looking for information on the name at the base of the letter that arrives with the precision trader brochure. Steven Robertson.
http://www.stuff.co.nz/technology/562293

His compelling data table in brochure sent out recently to would-be purchasers shows 40 trades made in a 3 month period and each per centage gain made on each. It tabulates those share trades and the individual per centage gains made on each and summarises the table by adding up the per centage gains!! so one can achieve several hundred per centage point increase for the trading period. e.g. 70 trades at 5% gain each gives you, the table shows, a 350% return on your total sum invested.

[CJ]

$3,500 - $4,000 from what I've been told. That's for their 'system' and if he doesn't make 20k he doesn't have to pay the rest. I know the total system is over 7k.So what has his $2k grown into? should have doubled by now?

[Halebop]

Harrington Group was incorporated in 2006 as Russell & Brown Limited, changing its name in 2008 to the Harrington moniker.

A google search of Russell & Brown reveals an amusing advertising complaint authority judgement against R&B highlighting the risks of their offer and a number of basic errors like being unable to spell the company name correctly in their own advertising materials.

[Kees]

any one use or know off a program called monitor i bought one years ago must have been 1995 it uses the old disc's , I haven't used it for years probably still would work if it was put on to cd disc from memory did make some dollars of it when i stuck to the system but i got side tracked and did my own thing and did not bother with it anymore paid 3k for it back then
it was put out by United trust limited.
Any info would be appreciated might be interting to play with it again.

[RazorX]

So what has his $2k grown into? should have doubled by now?

Err no.. he hasn't been trading on my advice. I have said to try and get his money back. He's trying but no luck so far - I don't even think they have responded to his request. Might end up being a painful lesson.

Some interesting info posed by others - thank you

[STRAT]

$3,500 - $4,000 from what I've been told. That's for their 'system' and if he doesn't make 20k he doesn't have to pay the rest. I know the total system is over 7k.There it is eh?
they make 3.5k from each punter. Same maketing strategy as the TV exercise machines and cheap DVD players. The return rates/discontinued orders are calculated into the business model.

[RazorX]

Hey guys

Thought I'd give you an update - my father got his money back after months of 'negotiation' which is really good, and probably somewhat of a miracle considering the time frame. So its all good now. The company immediately tried to sell him a forex text alert system after issuing the refund!! LMAO!:D