Just read in the ST today that Brazilian property developer Ecohouse has apparently shuttered its office in Singapore. The firm was recently placed on MAS alert list and since start of last week, the office in Suntec Tower has been closed. Calls to the office remain unanswered. These are tell tale signs of a fly by night operation.
It was reported that the firm managed to net $70m for three projects. I worry for those investors especially if their money are hard earned. They will most likely have to kiss good bye to their so called "investment". They forgot that sometimes investments that look real and maybe be real can turn out to be scams later on for various reasons. Most hedge funds operating with HIGH RISK are not even able to return 20% per year.
Last year, Shenton Wealth Holdings and a few others were similarly place on MAS alert list.In any case, MAS recent announcements to tighten and regulate investment schemes like landbanking, gold buyback etc will lead to the rapid demise of a lot of these firms.
If you have to invest to beat the meagre returns given by the banks, do it with your eyes open.