<prompt> Human: Hi all!First time poster here.I am in my twenties, married with a baby.Besides for my regular income, I have a close friend - going back over 10 years - who invests my savings.He does it for other people and takes a commission, but for close family and friends, he gives us the complete amount.When family asks me where I keep my savings and I mention this - and the dividends I get - they get all worried that he can be a scammer etc.He only does guaranteed investments, Guaranteed that if they fall through the principal money gets returned.About five years ago I was getting 5 percent a month on most money, and in the last 3 years it started being around 1.8 percent every month.I keep almost all my savings with him and he deposits the money in my bank account every month without fail.I trust him explicitly, but having started reading this sub for a while I have to ask, is there anything I should be keeping in mind with this arrangement, besides the taxes?EditThanks so much for the responses!Yes, the arrangement sounds sketchy and having looked into what a ponzi scheme is, this may seem like it.For those that mentioned: Its definitely 1.8 on a monthly basis. He mentioned a while ago about investing with ForEx and recently he told me that its also for loans for real estate projects.Is there a personal income insurance type arrangement that he theoretically can have to cover the principal? Again: Even after reading the comments so far, i dont believe he is running a scheme. My family knows him too well for him to vanish, and I genuinely believe him to be a good person.He never asked me to invest with him, it came up in conversation once.My money is always available to get back if I give him a month or so. I have taken money back in the pastEither way, I guess I will slowly ask for money back and look for more staightforward places to put it, thanks to your comments here.  <response>: He does it for other people and takes a commission, but for close family and friends, he gives us the complete amount.Hope hes got a securities license, or this is illegal.He only does guaranteed investments, Guaranteed that if they fall through the principal money gets returned.Seems foolish, also that isnt really a thing. Even bonds or debt arrangements have counterparty risk. The more youre talking, the more it sounds like hes a hard money lender. Your returns arent sustainable, nor is it advisable to have all your money in this single investment. How are you filing taxes off your investments and profits with him? Is he giving you tax documents? 