I have rejoined an investment club that I previously part of
(hence "rejoined"). Anyways, we previously used Club
Accounting software that used the NAIC valuation method.
Since that time, the club has drindled to 5 members (now 6).
They now use a simple Excel spreadsheet that takes that
amount contributed divided by the total contributed to get
ownership percentages (Mine at 13.23%). However, they keep
track of their total loss (about 20%) over they life of the
club. So, by joining I already have realized a $473 loss
because I share in the losses. My contention is that my
loss/gain begans when I join. If the club was up %100, would
my $2300 become $4600? (I realize it is paper). I could then
simply hold for the year (If that is the commitment, but I
don't even think their bylaws have that), and cash out with
a great profit. How should my valuation be calculated. I
realize their method is flawed and I hope to change it, but
how do I fix it in the meantime? Also, I joined by simply
switching my shares that they previously had in the club but
switched to me as my payout in 2001. I already incurred
losses on these shares because of the market, joining would
be a double loss. Help

John