Keeping Interest High

Keeping Interest High

(Chapter 20)

 

 

Keeping members interested may be the most challenging part of forming a club – perhaps even more difficult than earning a profit from your investments.

 

-       At first everyone is very happy and excited.

-       Over time the market may decline and members’ interest may fade. This is a very crucial time because the potential to achieve long term gains will vanish.

 

 

 

Educational Programs

 

Ø    Encourage members to take night classes conducted by your local NAIC

council.

Ø    Read newly published investment trade books.

Ø    Seek out informative guest speakers to address meetings.

Ø    Invite each member to regularly read at least one business publication.

 

 

 

NAIC Resources

 

Ø    Use the NAIC resources

Ø    Many clubs set aside a fifteen or twenty-minute period in every meeting for

instructions. (SSG, Value Line, etc)

Ø    NAIC conduct an annual National Investors Congress. This event offers a

lot of ideas from clubs all over the country. This Congress is always held

in a major city.

 

NAIC Councils

 

Ø    If there is an NAIC Council that operates in your area, they encourage us to attend. This event includes presentations from four or five companies of different sizes.

Ø    It will give you a opportunity to one-on-one with corporate officials in companies whose stock you might consider buying.

Ø    You might even consider inviting a Council leader to attend one of your meetings to critique your portfolio and your procedures.

Ø    Each January issue of Better Investing lists all Investors Fairs for the year.

 

 

Other Resources for Education

 

Ø    Invite your broker to your annual meeting to discuss your holdings and evaluate the club’s current investment opportunities.

Ø    Take a field trip to the broker’s office.

Ø    Take an after-trading-hours tour of the premises to discover how your orders are processed and how to become familiar with resources available in the library.

Ø    Arrange a visit to a local company in which you own shares, to see first hand the people who work in supplying the company’s product and services.

Ø    Invite as a guest speaker an experienced member from a successful club with a significantly longer operating history than your own. Ask him or her for a critique of your portfolio.

 

Other Activities

 

Ø    Invite a friend to your club. If there are no openings in your club, express your willingness to help our friend get a new club launched.

Ø    Publish an annual report, including the year-end valuation statement; member’s names, addresses, and phone numbers.

Ø    Distribute it to families of members, friends, your broker, and any acquaintances who have expressed an interest in investments clubs.

Ø    Hold a meeting at a nice restaurant or meeting hall. Somewhere to just unwind and not talk about investing.

Ø    Stage one or two special events during the year, such as a Christmas party or summer picnic, and invite nonmember friends and family.

Ø    Establish goals for the coming year.

 

 

There are many ways to keep the interests of the club. Just stay focus and motivated. Here is a list of the things I just talked about and more ideas.

 

Ø    Follow a structured yet flexible agenda.

Ø    Set goals, both short- and long- term, and track the club’s performance toward achieving them.

Ø    Require involvement of all members.

Ø    Reward member participation.

Ø    Support the continuing education of all members.

Ø    Maintain a disciplined approach to sock study and selection and to portfolio management procedures.

Ø    Think creatively: “How can we continue to meet the need or our club?”

Ø    Encourage member involvement in Council activities and national NAIC Congresses.

Ø    Promote a spirit of enthusiasm, excitement, and enjoyment.

Ø    Use available aids such as computers, videotapes, and overhead projectors to facilitate member participation and understanding.