Investment Club
If you are one of those people that has always been looking for an
Investment Club or wanted to start an Investment Club, this page might be
something for you and provide you with all the information you need.
The first thing to know is what is an investment club and why should I start
one ?
Investment Club:
How to start one,
Basically an investment club is nothing more than a few people getting together
with the same purpose. The group is often based on friends, church members, friends, neighbors, family and
coworkers. The purpose is to pooling funds into the club and place the portfolio in investments for a
profit.
You can start the club with just €3.500,- and a bit of travel
costs.
It is no secret that there are many many clubs, and that many of them have
been in existence for decades. A great number of the clubs also outperform the FTSE100 or the S&P500 which can
be very difficult for the professional managers at mutual funds to beat.
Being a real Investment Club requires that it is done 100% legal and
professional.
It just takes a few steps to be up and running.
Task 1:
You think this is difficult because forming a
corporation and all that it takes to do so is way too costly and complicated !
It is therefore recommended that clubs simply form a general partnership. Your club will need an Employee
Identification Number (EIN). You can obtain one by filling out form SS-4 at the IRS web site.
Task 2:
A club is set up very much like a mutual fund.
Club members contribute money as agreed. Contribution can be once or it can be regularly, and they may eventually
withdraw money once the club portfolio gets large enough. Club accounting can be difficult. How, for instance, do
you determine how much a member's share is worth, and how do you determine capital gains for each member? What
happens if someone pays late, or skips a deposit?
Though the partnership itself does not have to pay taxes, it does need to
file a partnership
return with the IRS each year.
Each year, also, the individual partners must pay taxes on their share of the capital gains, dividends and income
from the club. Yes, club accounting can be messy.
However there is not a problem without a way to solve it.
Luckily, software products can do pretty much everything for you
The software can for example, print up-to-date reports of club holdings, member share, capital gains, graphs of
club performance, and even required Federal Tax forms!
The software does all of this online so anyone in your club can access reports 24 hours a day with a username and
password.
The software also includes a private and secure club web site, with private club message boards, a calendar, places
to share files, and online voting.
If you want to know more about the software you can contact us for further
information. 
Task 3:
The club opens an
account.
What can be achieved:
Just imagine that the club have 200 members and they all place EURO 500 . The
club would then be able to use programs where they are invited in. A profit of 2-4 times the money in just 3 months
is doable. Do you think it is worth considering ?
Interested ?
If you are interested in investment clubs or be a member of one you can contact
us.
Creativity can bring you where you want to be.
The programs and ideas we present open the doors to a world little known to the public, and admitted some of them
are also just for entrence by invitation. However if you
qualify you will experience a world you would not have even dreamed about. The opportunities
are endless and there is really space for creativity.
Best of all you can make a living out of it and have fun.
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