NationStates Jolt Archive

Just curious at some of our older NS'rs. Have you started or belong to an investment club. Thinking of starting one myself. Would appreciate any thoughts or experiences from your own dealings with them.

I invested in a tank. Great for homesecurity, great for traffick jams and there's nothing more satisfying then shooting off a few rounds! ;)

I invested in a tank. Great for homesecurity, great for traffick jams and there's nothing more satisfying then shooting off a few rounds! ;)

Usually you end up getting shot driving tanks on American streets. Check out worlds wildest police videos.

I have heard bad things about them. In a nutshell, many of them can't do their own books very well, so they don't actually know how they are doing. (Like those old ladies on the orange juice commercial).

Maybe you should start an NS one.

I have heard bad things about them. In a nutshell, many of them can't do their own books very well, so they don't actually know how they are doing. (Like those old ladies on the orange juice commercial).

Maybe you should start an NS one.


Thought about that. But dont think the mods would appreciate a thread advertising one. Probably against the rules. As far as books. I run tight books in my own business adventures. Wouldnt be any different if I were to start a club.

Thought about that. But dont think the mods would appreciate a thread advertising one. Probably against the rules. As far as books. I run tight books in my own business adventures. Wouldnt be any different if I were to start a club.

Well then the only thing to consider is if you think you can outperform a decent mutal fund.

Which sector were you thinking of investing in. Housing stocks?

How about investing in Krispy Kreme? They'll still selling donuts, so they should go up again eventually.

How about investing in Krispy Kreme? They'll still selling donuts, so they should go up again eventually.

It's a dog. Stay away.

Well then the only thing to consider is if you think you can outperform a decent mutal fund.

Which sector were you thinking of investing in. Housing stocks?


Actually what I was thinking of doing was investing in a private placement stocks. In particular I wanted to find a way to fund a hotel investment in Costa Rica.

Actually what I was thinking of doing was investing in a private placement stocks. In particular I wanted to find a way to fund a hotel investment in Costa Rica.

Well that rather limits who could be in your "club" then doesn't it.

Well that rather limits who could be in your "club" then doesn't it.

No, not at all. This is just an idea. But the point of the club would be to buy private placement stocks. Thats where the real money is. But someone needs at least 50k a share for PP. An investment club can pool there money and do this.

No, not at all. This is just an idea. But the point of the club would be to buy private placement stocks. Thats where the real money is. But someone needs at least 50k a share for PP. An investment club can pool there money and do this.

Nah, they are issued under regulation D. You'd have to set up the club as an accredited investor and structure it. I imagine the club itself would run afoul of reg D for those who are trying to capitalize it. (Though I am not an expert in this, you really need to speak to a lawyer who specializes in this type of transaction, maybe you could get around it with some type of penny stock corporation).

It would be a lot of work too, because of the oversight required.

Nah, they are issued under regulation D. You'd have to set up the club as an accredited investor and structure it. I imagine the club itself would run afoul of reg D for those who are trying to capitalize it. (Though I am not an expert in this, you really need to speak to a lawyer who specializes in this type of transaction, maybe you could get around it with some type of penny stock corporation).

It would be a lot of work too, because of the oversight required.

Yes I understand the accredited status part of it. But actually think it could be technically done. But was just fielding this out there before I went to a lawyer and actually paid to hear someone tell me the ins and out of it.

Penny stocks, I thought of this too. But not the first approach I would want to take.

Also I think I could manage to get this hotel for about 125k cash out of pocket. The owner is willing to carry paper for 15yrs. Think I could structure the corporation to either sell bonds or go to a public offering to pay off the note. Or maybe sell bonds right away to raise the seed cap. Would there be a limit to investment clubs buying private corporate bonds?

Usually you end up getting shot driving tanks on American streets. Check out worlds wildest police videos.

Sorry Marrakech. didn't mean to spam your thread. Upon reviewing your name I realised that I should be pointing my turret at Markreich.

Sorry Marrakech. didn't mean to spam your thread. Upon reviewing your name I realised that I should be pointing my turret at Markreich.

hehe wouldnt be the first time this mistake happened.

Yes I understand the accredited status part of it. But actually think it could be technically done. But was just fielding this out there before I went to a lawyer and actually paid to hear someone tell me the ins and out of it.

Penny stocks, I thought of this too. But not the first approach I would want to take.

Also I think I could manage to get this hotel for about 125k cash out of pocket. The owner is willing to carry paper for 15yrs. Think I could structure the corporation to either sell bonds or go to a public offering to pay off the note. Or maybe sell bonds right away to raise the seed cap. Would there be a limit to investment clubs buying private corporate bonds?

So you want to raise 125k to assume control of the hotel, then issue bonds/stocks to pay off the rest?

I am not sure about buying private corporate bonds - if we are talking about the same thing - but I believe that they fall under the same restrictions as stock.

I quickly scanned the definitions of regulation D. It seems if you registered the club as an investment company, you may be able to do this.

So you want to raise 125k to assume control of the hotel, then issue bonds/stocks to pay off the rest?

I am not sure about buying private corporate bonds - if we are talking about the same thing - but I believe that they fall under the same restrictions as stock.

I quickly scanned the definitions of regulation D. It seems if you registered the club as an investment company, you may be able to do this.


Basically that was an approach I was thinking of. The wife doesnt want me to finance through our rental props. So I have to come up with an alternative to buying this gem. Seems Im going to have to waste some coin on a lawyer.

Basically that was an approach I was thinking of. The wife doesnt want me to finance through our rental props. So I have to come up with an alternative to buying this gem. Seems Im going to have to waste some coin on a lawyer.

I would imagine a lawyer that actually knew about this stuff would be incredibly expensive. (Or maybe you are lucky and know someone :) )

But good luck, I hope you get it.