Buy/Sell Programs Are They Real?

Managed Buy/Sell Programs-Legitimate or Fraudulent?

The world of Banking Debentures remains largely shrouded in mystery among American Investors. The question of their authenticity is often misrepresented by those who lack the knowledge or experience to intelligently comment on the topic.

Private Placement Banking Programs are definitely real and their existence and history are easily provable.

Our European counterparts of high net worth have long been keenly aware of their legality and the extremely large profit margins that can be achieved through these Managed Buy/Sell Programs.

The question then naturally pivots to whether any particular program is real and can be trusted or might it be a scam to avoid.

As with any financial endeavor-due diligence is required and the potential of being scammed is a legitimate concern.

Program History- Post World War II Bretton Woods 1944 

The rebuilding of war torn European and Asian Nations was the driving force behind the creation of the World Bank, the International Monetary Fund (IMF) and the Bank of International Settlements (BIS). 

To incentivize global investment, the international financial community developed banking debentures as a high-security alternative to traditional government debt. 

These instruments are issued by the world’s most creditworthy private banks and backed by their full faith and credit with the strategic support of central banks, the IMF, and the Bank of International Settlements. 

By combining this institutional stability with an investor yield designed to outperform standard U.S. Treasuries, these debentures would bridge the gap between safety and profitability. This helped the public to re-gain confidence in the banking industry.

This dual appeal ensures that the private sector can engage in large-scale capital deployment with confidence, viewing these bank-guaranteed instruments as a safe-haven asset class that does not require the yield sacrifices typically associated with low-risk investments.

Understanding The Buy/Sell Market

The market for banking debentures operates through a distinct two-tiered structure that facilitates both the creation and the liquidity of these high-yield instruments. 

In the Primary Market, these debentures are newly issued by top-tier private banks with the coordination of central banks and international oversight bodies.

They are sold as Fresh Cut Instruments, directly to Master Commitment Holders [institutional investors or specialized entities], to raise fresh capital. 

Once issued, these instruments transition to the Secondary Market, where they are traded as Seasoned Instruments between investors. 

Participation in these markets is typically reserved for sophisticated, qualified investors who utilize specialized platforms or private placement channels. This allows them to acquire existing debentures and capture their superior yields with no capital risk as the instrument is the collateral.

Why is an Investor Needed for the Transaction?

Banks and Trade Platforms can't directly participate in these transactions.

They create "subsidiaries" which are the private Trade Platforms and they need an Investor to make the program work.

They are not allowed to "Trade" their own money- That would be a monopoly- So they came up with these Trade Platforms which is where all this takes place.

An investor is needed to place his money in an account. It's simply a formality to be able to complete the transaction.

The banks are still abundantly profiting from it indirectly by loaning money with interest to the trader or client as a line of credit. This is their leverage. The banks also profit from the commissions and fees involved in each transaction.

Off-Balance-Sheet Activities and Exclusivity

There is an enormous daily market of discounted bank instruments  [MTN, BG, SBLC] involving issuing banks and groups of exit-buyers (Pension Funds, large financial institutions, etc.) in an exclusive Private Placement arena. 

A crucial aspect of PPPs/MBSPs is that they are "off-balance-sheet activities." This means they are contingent assets and liabilities, whose value depends on the outcome of the underlying claims. 

These programs are strictly private, operating on an invitation-only basis, and are typically reserved for high-net-worth individuals and qualified institutional investors.

If These Programs are Real, Why Don't Banks Offer Them To Their Customers?

CDs, Money Market Accounts and all other Banking Products would become obsolete and banks would not be able to leverage your money to increase their lending volume.

Banks will never offer these programs directly to the public. How could they make any money with Fractional Reserve Banking if everyone could leverage their own money.

The Bank needs to leverage your money with the 90/10 reserve to deposit ratio.

They loan out 90% of your money and they may pay you 4-5% with their various “high yield savings” accounts.

Summary

The fact is that Managed Buy/Sell Programs do exist but actual providers are few and far between. The supply of these programs is small, and demand far exceeds it. 

Getting in the way of being connected to something real are the countless internet brokers, who often misrepresent themselves as direct to a program, but do not have the relationships or knowledge of how these work. 

Seeking out transparency where all your questions can be answered before moving forward with any program is always the wise path to qualifying legitimate program operators.

These exclusively private programs are only for sophisticated and serious investors seeking to increase their wealth in a substantial manner and can be accessed by invite only.

If a client is serious about finding a program they must comply with strict AML regulations and be willing to show Proof of Funds [POF] and show those funds are legal and unencumbered.

Disclaimer: This article provides general information and should not be considered financial advice.

Mr.John Barry is Founder and President of Global Capital Investing. John leverages over 20 years of senior-level experience in Private Equity Investing and Private Offerings . 

He can be contacted at +1 (512) 571- 3486 or by email: info@globalcapitalinvesting.com