Can investment clubs invest in funds? What are the pros and cons of
a club investing in a stock or bond fund ?
Laurie Frederiksen on
Hi Mary,
There are various investing pros and cons related to investing in funds rather than stocks. I'll let others discuss their experiences with those.
Another important issue is accounting and tax reporting requirements. There are many many funds and all funds are not created equal.
There are some you can't account for at all using bivio. There are others which will create more work for your club treasurer. And there are some which are not a problem at all.
There are many funds out there, so we can't give you a list of which ones fall in each of the categories, but we're glad to look up specific tickers for you if you send them to support@bivio.com. Just let us know that you'd like to know if your club would have any issues with the ticker as an investment.
Make sure you send the question before you make a purchase. Once you own it, you also own any problems it might have.
Laurie Frederiksen Invest with your friends! www.bivio.com
Can investment clubs invest in funds? What are the pros and cons of a club investing in a stock or bond fund ?
Jack Ellison on
The purpose of a club is to learn how to invest intelligently. If you buy funds you compromise that purpose. Your members should focus on the fundamentals of an equity to learn how to research and intelligently buy stocks. To repeat, mutual funds compromise that purpose.
Jack Ellison
Sent from my iPhone
On Sep 6, 2017, at 10:36 AM, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi Mary,
There are various investing pros and cons related to investing in funds rather than stocks. I'll let others discuss their experiences with those.
Another important issue is accounting and tax reporting requirements. There are many many funds and all funds are not created equal.
There are some you can't account for at all using bivio. There are others which will create more work for your club treasurer. And there are some which are not a problem at all.
There are many funds out there, so we can't give you a list of which ones fall in each of the categories, but we're glad to look up specific tickers for you if you send them to support@bivio.com. Just let us know that you'd like to know if your club would have any issues with the ticker as an investment.
Make sure you send the question before you make a purchase. Once you own it, you also own any problems it might have.
Laurie Frederiksen Invest with your friends! www.bivio.com
Can investment clubs invest in funds? What are the pros and cons of a club investing in a stock or bond fund ?
Jeanne Tieken on
On a few occasions we have purchased ETFs, so we can watch several and then sell the ETF and purchase one stock that we think looks best. We did that with SOC (a social media ETF) and decided to buy FB. WE did it with a Water ETF but didn't follow it up with a single-stock purchase.
The purpose of a club is to learn how to invest intelligently. If you buy funds you compromise that purpose. Your members should focus on the fundamentals of an equity to learn how to research and intelligently buy stocks. To repeat, mutual funds compromise that purpose.
Jack Ellison
Sent from my iPhone
On Sep 6, 2017, at 10:36 AM, Laurie Frederiksen <laurie@bivio.biz> wrote:
Hi Mary,
There are various investing pros and cons related to investing in funds rather than stocks. I'll let others discuss their experiences with those.
Another important issue is accounting and tax reporting requirements. There are many many funds and all funds are not created equal.
There are some you can't account for at all using bivio. There are others which will create more work for your club treasurer. And there are some which are not a problem at all.
There are many funds out there, so we can't give you a list of which ones fall in each of the categories, but we're glad to look up specific tickers for you if you send them to support@bivio.com. Just let us know that you'd like to know if your club would have any issues with the ticker as an investment.
Make sure you send the question before you make a purchase. Once you own it, you also own any problems it might have.
Laurie Frederiksen Invest with your friends! www.bivio.com