Paid to Manage Club?

AC on

Does anyone know whether it is legal to get paid to manage a
investment club?

Thanks

Tom & Melinda Kelly on

I get paid a percentage plus performance bonuses to manage the investments a
club/partnership. I don't remember the exact numbers but it was something
like 25 million or more than 100 people before you have to report the NASD.
You can look it up on their website. I also think it further complicated
things if you have a securities license.

-----Original Message-----
From: club_cafe@bivio.com [mailto:club_cafe@bivio.com] On Behalf Of AC
Sent: Tuesday, October 09, 2007 12:56 PM
To: club_cafe@bivio.com
Subject: club_cafe: Paid to Manage Club?

Does anyone know whether it is legal to get paid to manage a
investment club?

Thanks

Rip West on

In addition to what Ira said, I think you should revisit the link at http://www.sec.gov/investor/pubs/invclub.htm. The exceptions that you stated might keep you clear under the Investment Company Act of 1940, but you could still be in violation under the Securities of 1933. There is little doubt in my mind that you are offering securities, as defined by that act. The question is are you making public offering. A notice on a bulletin board that you are seeking members could constitute making a public offering. In my mind, it's nothing to mess around with, if you are indeed managing the club.

Rip West
Saint Paul, MN

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