As I said before in my blog, this is a very important topic, because I have learned that it is one of biggest "pillars" to have bigger chances of success (but obviously it alone can't do miracles) in either hyip world or "real" investments like Stocks, Forex, Real Estate and other kind of investments.

There are many Money Management (MM) strategies, but it is always important to adapt to the market we are investing, because sometimes one MM technique we use in one market might not be the better for other market.
For example, I don't use the same MM style for hyips and bet trading, simply because:
-in hyip world I invest in different hyips at same time, and must keep looking for new hyips with potential; and I usually need to wait a considerable amount of time before having principals back.

-in bet trading I only "invest" in one match at each time, with some exceptions when there are many matches at same hour. And usually in a timeframe of ~2hours I already know if I earned something or lost.


So for hyip world I use a "reinvest profits style" of MM, where I keep investing in new/same hyips with the previous profits, way before having principal back from olders hyips.
In bet trading, since most of times when I place the next bet I already know the result of previous match, I believe it is more suitable to have a base bet size (like 5% of balance). This allows me to dinamically change the amount I bet to help lowering the losses in bad situations and increasing the profits in good situations.
In the end, both MM strategies have similarities (compounding in long-term if we are earning profits), but each one adapted for its market, although the strategy I use in bets could be used (to some degree) for short-term hyips.


But enough of this introduction and let's focus on hyips.
Over the time I used different MM strategies, and saw some people using others, and over all this time I've seen that some strategies can help more than others. But of course it all boils down to what kind of investment style you have (more short-term or more longer term).

-invest in just 1-3 hyips (low diversification): well, I think all of you already know the old "don't place all your eggs in just one basket".
But, over the time, I found people relying too much in just few programs, and mainly investing big amounts on them (and some even high-ROI hyips), to later lose when the program collapsed.
I know sometimes there are few hyips worth investing, but in these cases I advise to place 10-15% (for each hyip) in those 1-3 programs and save the rest for future because better programs will probably show up.

-"plain" invest with good diversification: with the "plain" I mean without major MM strategy. For example you start with 1000$ and invest in 10 programs and then withdraw all profits to your pocket (out from e-currencies) without reinvesting, or creating a reserve for future programs, that greatly reduce the flexibility for long-run and maximizing profits.
With this strategy you already have some better chances to earn, depending on the programs you choose, but there are still some downs:
-you miss the opportunity to maximize profits, because you stick to these programs without looking for new programs;
-you are more vulnerable to big losses if a program falls just after you invested, as the deposits still have a considerable size.

About the question: "how many hyips should I invest?". Well, there is no "correct" number, and there is no need to invest into countless programs just because of sake of diversifying because you will tend to invest in "less good" hyips that can bring more losses than profits.


"Cyclical" Good diversification with reserve system: Basically you choose a number of hyips you can manage without problem (let assume 10 hyips), and then instead of withdrawing everything to you pockets, you instead left a % of the earnings sitting in e-currency account. Then, when a hyip falls, you can use this reserve to invest into a another hyips that looks good.
If there is no good enough hyip at moment you keep waiting and increasing the reserve until decent hyips appear, and then instead of 1 you can invest in 2 (or more if in mean time more hyips have fallen).
This allows better flexibility and can already work as a "reinvest/compound" mode, depending on how much % you place into the reserve fund.
I have used a similar strategy in 2nd half of 2009, and worked quite well, but still has the one disadvantage (also present on above strategies):
-you place too much at once in one program. And sometimes the program can die quickly...

Good diversification with reserve system: similar to previous strategy, but in this case you use the reserve as soon you find a good program, worth investing, even if all programs in your list keep doing well.
The advantage of this MM strategy over the previous is the fact that you are not tied to your current list, without needing to wait until one program falls, increasing flexibility, and also helps better decisions because in the previous MM system, you are investing after a program fall, that can mix up a bit your emotions, especially if you were at loss in that program.

This was the MM system I used mainly in 1st half of 2010.


"Reinvest profits style":
As you probably have noticed, I started from the simplest MM style to the more "dynamic" strategies. Of course the more dynamic is the MM, the more work you have, but in overall it is worth it.

Basically with this strategy you are always reinvesting back into new/existing hyips.
For example, in a weekly basis, or bi-weekly you analyze the current hyip market, and select a few hyips to invest (new, or already in your portfolio) that still have potential to turn the deposit you will do in profit.
This way you keep a "continuum" of new programs coming to your portfolio, and increase over the time the total money in "proved" programs already in your portfolio that still have good chances to bring profit.
So this strategy also diminishes big deposits at once in one "new" program, because, since you are reinvesting profits, the amount invested each week (or bi-week) is not too much compared to overall balance you already have invested in hyips. This way, if that program dies after your first investment, you won't lose much (relatively speaking).

How much of the profits should you reinvest? Well, actually it's your choice, but I think something around 70-80% is quite good. At least 50%, to have chance of increasing your capital, although 70-80% increase these chances. And with 90% you are already paying to little to yourself, increasing the probability to not reinvest one or another time to withdraw more profits.

Now another important question, how to start? Honestly I don't know the best way, but I believe a good way can be splitting your capital in 5-10 parts and invest gradually.
For example, you start with your capital, and you just see 3 hyips worth investing. You can take ~30% from your capital and place appropriate amounts into each hyip, accordingly to its quality, like 12%, 10% and 8%.
The rest 70%, you can divide into 7 parts, and invest each part weekly or bi-weekly, when you reinvest the profits.

There could be possibly better ways to start, this was just one example to do things "gradually".


And that's all for this article. I know there are others MM that people use, some with loss recovery (it can bankrupt faster than you think if you have bad luck), but here I tried to cover some I used, and others that seem to be quite frequent among investors.

Remember that Money Management can help your success in investments, and many times it's almost ignored by many people.
I incentive you to research well this topic, and chose the best MM for you, keeping in mind it can:
-increase profits over the time;
-lower losses in bad situations.