InvestmentClubbing.com

Last year’s high-flying financier just asked you if you ‘want fries with that’.  

Creative financing created a hole and crawled in to die.  It isn’t the first time, and surely won’t be the last.  The alternative turns out to be obvious.

Fatigue

Many small business owners are as excited about speaking to so-called financing professionals as most of us are with meeting that financing guy at the car dealership.  But the latest trend bucks the “professionals” for a youthful twist on an age-old system.

With generally up to one hundred investors permitted in any given investment club, and members contributing just about any amount they are comfortable with, those who start popular investment clubs may be amassing substantial influence.

Not your grandmother’s investment club

But it’s an age-old system on steroids.  Investment clubs, once the hobby of blue-haired bridge clubs buying blue-chip stocks from somebody’s living room, have now gone Facebook.  The new breed of Investment clubs operates entirely online, and can invest in just about anything form fine art and wine to vacation homes, high-end sports cars to commodities, stocks to construction project, international trade deals to micro-finance. 

With financial professionals sidelined, investment clubs bring the actual investors directly into the management of funds.  Often younger groups, pooling their money in investment club shares, are expert in obtaining objective information through online research.  Various disciplines are directly consulted within the very ranks of the club membership.  Communication systems between members would have been unthinkable a few years ago.  They can investigate and execute, in many cases, more efficiently and more quickly than institutions, with fewer conflicts of interest inherent in the business model.Indeed, many legacy “professional money mangers” would likely do will to consult with many investment clubs.