Alfa Investment Review: 30% a month Ponzi targeting Ecuador
Alfa Investment provides no information on its website about who owns or runs the company.
In fact as I write this, Alfa Investment’s website domain is nothing more than an affiliate signup/login form:
What we do get is a link to a “paper”, in either Spanish or English (Alfa Investment’s website defaults to Spanish).
In the document we get a blurry UK incorporation certificate and CEO “Mauricio Mosquera”.
No information about Mosquera is provided. Outside of Alfa Investment Mosquera, as represented in company marketing, doesn’t exist.
Whoever is playing Mosquera has put in at least one video appearance, so that does rule out a stock photo.
Alfa Investment’s UK incorporation meanwhile is a red flag.
An MLM company operating or claiming to operate out of the UK is a red flag.
UK incorporation is dirt cheap and effectively unregulated. On top of that the FCA, the UK’s top financial regulator, do not actively regulate MLM related securities fraud.
As a result the UK is a favored jurisdiction for scammers looking to incorporate, operate and promote fraudulent companies.
For the purpose of MLM due-diligence, incorporation in the UK or registration with the FCA is meaningless.
Alfa Investment’s website domain (“alfainvestment.capital”), was first registered in December 2021. The private registration was last updated on May 9th, 2022.
As per SimilarWeb tracking, traffic to Alfa Investment spiked in May 2022. 100% of Alfa Investment’s website traffic is attributed to Ecuador.
It follows that whoever is running Alfa Investment is thus also likely based out of Ecuador, or at the very least has ties to the country.
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
Alfa Investment’s Products
Alfa Investment has no retailable products or services.
Affiliates are only able to market Alfa Investment affiliate membership itself.
Alfa Investment’s Compensation Plan
Alfa Investment affiliates invest funds on the promise of a 30% ROI, paid for ten consecutive months.
Alfa Investment offers twelve investment tiers:
- invest $100 and receive $300 a month
- invest $300 and receive $900 a month
- invest $500 and receive $1500 a month
- invest $1000 and receive $3000 a month
- invest $2000 and receive $6000 a month
- invest $3000 and receive $9000 a month
- invest $5000 and receive $15,000 a month
- invest $10,000 and receive $30,000 a month
- invest $20,000 and receive $60,000 a month
- invest $30,000 and receive $90,000 a month
- invest $40,000 and receive $120,000 a month
- invest $50,000 and receive $150,000 a month
Although returns are calculated monthly, Alfa Investment pays them out pro-rata daily.
The MLM side of Alfa Invest pays on funds invested by recruited affiliates.
Alfa Investment Affiliate Ranks
There are ten affiliate ranks within Alfa Investment’s compensation plan.
Along with their respective qualification criteria, they are as follows:
- Associate – sign up as an Alfa Investment affiliate and invest
- Topaz – invest at least $500 and generate $50,000 in downline investment volume
- Amethyst – invest at least $1000, generate $150,000 in downline investment volume and recruit 4 Topazs
- Sapphire – invest at least $2000, generate $250,000 in downline investment volume and recetuit 2 Amethysts
- Ruby – invest at least $5000, generate $500,000 in downline investment volume and recruit 2 Sapphires
- Emerald – invest at least $10,000, generate $1,000,000 in downline investment volume and recruit 2 Rubys
- Diamond – invest at least $20,000, generate $5,000,000 in downline investment volume and recruit 5 Emeralds
- Blue Diamond – invest at least $50,000, generate $10,000,000 in downline investment volume and recruit 2 Diamonds
- Red Diamond – maintain a $50,000 investment, generate $20,000,000 in downline investment volume and recruit 2 Blue Diamonds
- Black Diamond – maintain a $50,000 investment generate $40,000,000 in downline investment volume and recruit 2 Red Diamonds
Alfa Invest pays referral commissions via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
Alfa Invest caps payable unilevel team levels at five.
Referral commissions are paid as a percentage of funds invested across these five levels as follows:
- level 1 (personally recruited affiliates) – 10%
- levels 2 to 5 – 2.5%
Alfa Investment pays a 5% residual commissions as a percentage of returns paid to downline affiliates.
The same unilevel team is used (see “referral commissions” above), capped at seven levels of recruitment.
Diamond and higher ranked Alfa Investment affiliates qualify for a Partner Bonus:
- Diamonds receive a 1% monthly Partner Bonus
- Blue Diamonds receive a 2% monthly Partner Bonus
- Red Diamonds receive a 2.5% monthly Partner Bonus
- Black Diamonds receive a 3% monthly Partner Bonus
The Partner Bonus is made up of company-wide investment volume.
It is unclear whether Alfa Investment has one 3% pool or separate rank-specific 1% to 3% smaller pools.
Rank Achievement Bonus
Alfa Investment rewards affiliates for qualifying at Topaz and higher with the following one-time Rank Achievement Bonuses:
- qualify at Topaz and receive a “latest version” iPhone
- qualify at Amethyst and receive a “latest version” MacBook Pro
- qualify at Ruby and receive a Cartier watch
- qualify at Emerald and receive “a car (valued at) up to $30,000”
- qualify at Emerald with $2,000,000 in downline investment volume and receive an “Xcaret trip 5 days and 4 nights for 2 people”
- qualify at Diamond and receive “a trip to Dubai 7 days and 6 nights for 2 people”
- qualify at Blue Diamond and receive a “house (valued at) up to $150,000”
Joining Alfa Investment
Alfa Investment affiliate membership is free.
Full participation in the attached income opportunity requires a minimum $100 investment.
Alfa Investment Conclusion
Alfa Investment represents it generates external revenue via “PPP High Yield Financial Programs”.
PPP High Yield Financial Programs offer unrivaled returns at zero risk.
In fact, these PPP programs have been used by investors, companies and public entities for more than 60 years to finance all kinds of large-scale founder projects.
These PPP programs are not well known because they are not massively promoted and because of the high capital required to access them.
In fact, traditionally, the minimum capital to enter one of these programs is $100 million or equivalent in financial instruments.
Even if you buy into that nonsense, Alfa Investment’s business model fails the Ponzi logic test.
30% a month? If we take $100 million and invest that at 30% a month, compounded that turns into $482 million in six months.
Nobody is giving you access to that for free.
If that ROI was in any way legitimate and able to be achieved consistently month after month, Mauricio Mosquera or whoever he is would keep it for himself.
As it stands the only verifiable source of revenue entering Alfa Investment is new investment.
Using new investment to pay affiliates 30% a month makes Alfa Investment a Ponzi scheme.
As with all MLM Ponzi schemes, once affiliate recruitment dries up so too will new investment.
This will starve Alfa Investment of ROI revenue, eventually prompting a collapse.
The math behind Ponzi schemes guarantees that when they collapse, the majority of participants lose money.
Update 28th June 2022 – Within a few hours of this review going live, the Alfa Investment webinar featuring Mauricio Mosquera was made private.
I had provided a link to the webinar but have now removed it.