Timothy Sykes Millionaire Challenge Warning0
Timothy Sykes Millionaire Challenge Warning
Timothy Sykes is a multi-millionaire stock trader and teacher. He became famous for turning $12,415 into $4.43 Million in the stock market. His teaching has helped two of his trading students to become millionaires themselves and he is looking for more students. Timothy Sykes has created the Millionaire Challenge. My subscribers have requested I take a look into this money making opportunity. Here is what I have found.
The Timothy Sykes Millionaire Challenge is a program you can join to become one of his students and learn how to trade penny stocks.
“Penny stocks are the most dangerous corner of the market—rife with fraud and get-rich-quick scams—and no legitimate financial adviser would ever recommend them to a client.” – Source Bloomberg.com
Timothy Sykes Millionaire Challenge Claims
I want to create 20 millionaire students.
I work a few hours a day.
Low priced stocks are much easier than the rest of the market.
You have an advantage on every single trade with my strategy.
Within a few years your life can be changed if you do the work.
I don’t take everyone.
I’m teaching good, solid financial rules and risk management so it’s impossible not to benefit from my videos even if you put in just a little effort.
Here is a video of Timothy Sykes trying to get you to join him:
Timothy Sykes Millionaire Challenge Reality
The cost to be a part of the Millionaire Challenge is approximately $5000+ for your first year. You will also need enough money to fund a trading account. This can cost $10,000.
So far for 2016, Timothy Sykes is recommending Interactive Brokers as his primary broker.
Interactive Brokers Accounts are geared towards professional/active traders and investors; therefore we require the following from customers:
- Good or extensive product knowledge for any product you wish to trade.
- You must have executed at least 100 trades for any product type, or 100 simulated trades in our real-time demo.
- A minimum equity deposit in cash or stock of USD 10,000 (or USD equivalent) or USD 5,000 for IRA Account (or USD equivalent).
Here is his disclaimer for his Millionaire Challenge:
Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.
Timothy Sykes has not made 1 million in a year trading since 2007.
Here are the amounts Timothy Sykes has made trading since 2007:
Total from 1/1/07 to 12/31/07 is $1,877.52
Total from 1/1/08 to 12/31/08 is $26,731.06
Total from 1/1/09 to 12/31/09 is $95,447.42
Total from 1/1/10 to 12/31/10 is $247,147.88
Total from 1/1/11 to 12/31/11 is $334,717.77
Total from 1/1/12 to 12/31/12 is $229,573.16
Total from 1/1/13 to 12/31/13 is $393,502.98
Total from 1/1/14 to 12/31/14 is $844,813.81
Total from 1/1/15 to 12/31/15 is $204,380.65
– Source Profit.ly
The website that Timothy Sykes uses to publicly share his trades is owned by him. In my opinion, this is a clear conflict of interest.
The lifestyle that Timothy Sykes is constantly promoting is not built from trading. It is built from the money that his students have paid for his classes and programs he offers.
In my opinion, this is incredibly deceptive advertising.
Timothy Sykes knows that his trading strategies have a limited upside for making money. It is a limited niche of stock trading that he is training you to participate in. Can this niche support 2000+ students or can it only support him and maybe a few other people?
“Full disclosure, penny stock trading is NOT a scalable strategy, you can’t make $10, 20, $100 million/year trading them, just six or low seven figures so I’ve been rewarded financially for realizing there’s money to be made in education…” – Source Timothy Sykes
“Goode and Grittani acknowledge that when it comes to Sykes’s students, they’re the exception rather than the rule. Both now get paid to run webinars on Profit.ly and have seen how Sykes’s douche marketing can attract the wrong sort of people. “Some new students don’t realize how much the odds are against them,…” – Source Bloomberg.com
No information is provided on the success rate of his students. Only a few students have claimed to approach his level of success.
Here is a video of the type of trades Timothy Sykes wants you to get involved in:
Here is a quick breakdown of how little his trading income is a part of his total income:
December 2008: $83,358
$27,688 Instructional DVDs
$29,407 Advertising & Affiliates
$2,084 An American Hedge Fund
$3,950 Trading Profits
– Source Timothysykes.com
Only 4.74% of his income was from trading for this month. I think you can understand why his focus is NOT on generating income through trading.
Here is an example of the proof he provides to backup the income claims he makes on Profit.ly:
On Profit.ly it says he made $1,877.52 from trading in 2007. When you add that to the $12,415 he started with it does not equal $19,282.33. Where did the extra money come from?
Here is a comment made on a promoter of this programs website that I believe sums up the current state of the Timothy Sykes Millionaire Challenge:
There has been zero evidence in this entire thread that this works. Matter of fact, there has been zero evidence on the internet aside two people who currently work for Tim’s team this works. Tracy, you seem to defend this at all lengths, even shouldering all the blame for your failure in the “program”. You say you lacked the time, then why did you buy the program? A program that initially promises easy gains in a matter of weeks off a couple trades, then once purchased, says to watch 1000 dvds and articles and study study study? Lol. Where is the logic?
This is a great marketing program. It preys, as we have already seen, on college students and foreigners who are desperate. 4 out of 5 of your own commentators who are interested all preface their interest by saying how after spending the 5500 dollars on the program they’d barely have enough to trade and you are telling them to go for it? … I have yet to see any success stories. Just failures who blame themselves or despair without giving any update. This is typical when people fail.
For the record, just for investigative purposes, I wanted to enroll. I received the sales pitch of all sales pitches. It reminded me of The Wolf of Wall Street. I was told to take from my retirement account, pull out any savings, do whatever it takes to enroll. Finally I lied and said sorry I am broke and the guy literally hung up on me. Any person who suggests to pull money from a 401k to play with penny stocks should be jailed.
Shame on you for plugging this trash. I give major credit to Tim for preying on the desperate nature of people and making himself a success off of it.
Here are a couple highlights from a Huffington Post story on Timothy Sykes:
As a practical matter, Mr. O’Neal does not believe any due diligence is necessary because he would “never” recommend a trading strategy that touts potential large returns; one concentrated on trading penny stocks; or one based on short-term, in-and-out trading. According to Mr. O’Neal, “Any one of those three would make me run. Imagine if someone told me their strategy was all three?”
I asked Mr. Sykes to provide me with brokerage statements and related documents validating his claims. I also asked for data showing the returns earned by his students. He declined. – Source Huffingtonpost.com
No, sorry, we do not provide any refunds because we know what we teach is real and useful. If you are unhappy with our service, it is you who have done something wrong, most people are too lazy and undisciplined. We’d appreciate you not being that way. You are free to cancel your subscription at anytime. You will not be billed if you cancel. – Source Timothysykes.com
Timothy Sykes Millionaire Challenge Conclusion
In my opinion, Timothy Sykes does not provide the information you need to decide if his trading program is valuable to participate in. He uses advertising that shows you his wealth that is earned primarily from his students and not from trading. He encourages you to enter the penny stock market which is the most dangerous corner of the market. When you try to use your own judgement and make a mistake it can be a massive mistake. Short-term in-and-out trading is a recipe for disaster for almost everyone that tries it. Timothy Sykes claims to be transparent, but when requested by the media to backup his claims he does not provide the information necessary to do it. You need to invest thousands of dollars and countless hours to work through this program. If you find his program useless, he does not offer a refund. Until further information is provided on the success rate of his students, I would avoid the Timothy Sykes Millionaire Challenge.
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