Private Company Index

I just heard about a new company that is creating a private company index so that you can invest into the companies without them going public. Sounds like a great idea to me but I was wondering if anyone else had heard anything about this. The company is called Entrex. Anyone know anything about this? Thanks.

If a company has not gone public then its books are closed and they don't have to distribute profits to shareholders. To me , it seems very risky way to invest and what they want to distribute to their shareholders would seem to be would be entirely up to them as to what kind of percentage to share with you. I'm sure there are otehrs on this site that can be more definitive as to why this is or isn't a good idea, but for me too many other funds and stocks doing well to take a chance with this risky proposition.
Read alot and question before y0u invest.

Hey thanks Cape Cod. I took your advice and read up a bit more on this. Turns out I was wrong about one thing, I thought the Private Company Index was just starting up but I found a press release on Yahoo saying they were celebrating their 2nd anniversary. The article also says a little about how they keep track of the companies financial info for investors (monthly revenue reports). Lastly it says that so far it has shown a 420% greater return than the average of the Dow, NASDAQ and S&P Small Cap 600 indices performance in the same 24 month period. (I put the link to the press release below in case you care to see it)

Anyways, I just wanted to share this new information I came across. The more information the better so if anyone know anything else about this please feel free to share.

Yahoo Press Release (http://biz.yahoo.com/prnews/070913/aqth132.html?.v=12)

The one thing that bothers me is that there is really no public dislosure and open book-keeping regulations in place. The investment is essentially based only the good faith that revenues are being being reported accurately. In other words, it truly is a paper tiger.

Ditto to Price.... "It says" it returned 420% but without any public disclosure who really knows.

If you believe their propaganda...go for it. Buyer beware!