Getting Started
Portfolio Basics
Specific Goals
Investment Experts
Investment Clubs

What They Are

How They Work

How to Start One

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“Since the first investment club was founded in 1940, the number of clubs has grown to more than 23,000. And with annual returns of up to 12.7%, they sure beat an afternoon under an umbrella.”

- Lorayne Fiorillo, author of
Financial Fitness in 45 Days

When you join an investment club, which usually ranges from 12 to 16 members, each participant assumes a particular role. You may be the group leader, buyer, or part of a stock selection committee. Many clubs give every member the responsibility of researching a specific stock or an entire market sector and making a report at each meeting.

The work of investment clubs is similar to mutual funds--you pool your money with other members and consequently can purchase more shares than you could by yourself. Only you don’t hand over the day-to-day portfolio management to a professional money manager--you and your fellow members are the managers.

Club members are therefore responsible for:

  • Researching securities and presenting the data to the rest of the group.

  • Opening a brokerage account.

  • Executing trades, either through a broker or online via the electronic trading system.

  • Making ongoing buy and sell decisions.

  • Tracking and reporting overall portfolio performance.

  • Accurate management and reporting of taxes for each member.

  • Maintaining buy and sell confirmation paperwork and other administrative tasks.

 What’s an Investment Club?

 How an Investment Club Works


 Starting an Investment Club





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