Conference nyoss1::market_investing

    
    	The NAIC publishes a booklet on "How to Form an Investment Club".
    Their address is:
    
    		National Association Of Investors Corporation
    		1515 East Eleven Mile Road
    		Royal Oak, MI
    		48067
    
    	Also, I have a pamphlet from them explaining briefly who the NAIC
    is and a short summary on how to form a club.  If you would like to
    have it, send me mail to LEDS::VESESKIS with your mail stop and I will
    send it to you. I am also a member of the Assabet Valley Investment
    Club which is affiliated with the NAIC.  If you would like to ask some
    questions about forming or joining an existing club please send me mail
    or call at DTN 237-6435.
    
    
    Ken

    RE:  .1 
    
    Ken,  what are the benefits and obligations of a club being affiliated
    to NAIC?  Can you give us a description?
    
    Cheers,
    Juan
    

    
    
    re: .2
    
    Juan,
    
    	Firstly, you don't have to be a member of an existing investment
    club to be a member of the NAIC.  They have quite a few individual
    investors in their membership.  The NAIC was formed about 40 years ago
    to transform investment clubs and individuals into a nation wide,
    constructive educational project.  The emphasis is on investment
    education, in particular, with the stock market. Over the years they
    have developed methods to help individuals investigate and make
    intelligent decisions in purchasing stocks.  Clearly, there is no sure
    fire method in picking winners all the time but you do learn how, using
    a company's  historical data, to put the information in a form called
    the Stock Selection Guide.  The form helps you evaluate management, use
    a company's price-earnings history, evaluate risk and reward, and help
    assess future potential.
    	They also sponsor regional and national investor fairs in which
    companies are invited to come and talk to the individual investors.
    Here you get a direct link to a company you may be interested in
    investing with, instead of just reading an annual report or a Value
    Line.  They also have workshops on investing and on using your
    computer to determine and maintaining stock portfolios.  As a member of
    the NAIC you will also receive their monthly Better Investing magazine
    in which companies are highligted for study and articles to provide
    investment education.
    	They show you how to use a stock check list, stock selection guide
    and report, stock comparison guides, techniques for buying, selling and
    holding, and using a portfolio management guide. They also explain the
    proper recording techniques for club treasurers.  They have a low cost
    reinvestment plan in which you can purchase stocks directly from
    companies (I believe there are about 75 companies on the list to date)
    for a modest fee of $5.  Therefore you save on broker fees. 
    	The only obligation you have to the NAIC is to pay your yearly
    dues.  I believe if you are with an existing club it is $30/year and
    $35/year for individuals. 
    	I know most of the above looks like a plug for the NAIC but in my
    opinion, joining an investment club and being affiliated with the NAIC
    has taken a lot of mystery out the stock market for me.  I feel that
    now I can make more intelligent, but not necessarily perfect,
    decisions in purchasing and selling stocks. 
    
    Happy investing,
    
    Ken

    
    Hi Ken,
    
       Would the NAIC approve of posting any of their methods, training
    materials, etc. in this conference?  I remember that you posted some
    NAIC guidelines back in a stock selection note a few months ago.
    
       I think it would benefit everyone (or nearly everyone) in this
    conference to include more educational materials, proven selection
    methods, etc.  
    
       Anyone who has invested in the market for any period of time knows
    that there is always a lot more to learn.  This conference offers a
    simple, inexpensive, and convenient way to improve our investment
    results (in principle).
    
       A barrier to achieving this is the notion that each of us has some
    technique that is so brilliant that we should not share it with others
    (for free); and that if it is disclosed then 'everyone would use it' 
    and it would cease to be effective.  Judging by the profusion of 
    methods proposed and ignored by 'market experts', that is almost 
    surely not true.
    
       I for one would like to see this conference include an 
    educational slant, but I'm not willing to put a lot of effort
    into it unless a lot of other members feel the same way and are
    willing to contribute toward that goal.
    
       Am I alone in viewing this conference as an investment club?
    
       /Jim
    

    re: .4
    
    Jim,
    
    	I am sure the NAIC would not look at it too favorably to have their
    information posted in a notes file.  I could write and find out but I
    would not get your hopes up.  Yes, I did post some material a few
    months ago showing some of their methods and I probably violated a few
    copyright laws along the way.  I will send them a letter and post their
    response in this note if and when it comes.
    
    	In the interim, if you are interested in learning more about them I
    would recommend that you find an investment club in your area that is
    associated with the NAIC.  Most clubs allow guests to attend their
    meetings and to ask questions.  In fact our club strongly encourages
    guests to attend.  Most libraries keep records of such clubs in their
    communities.  If you cannot find one then send me mail and I will give
    you the NAIC regional contact person in your area. 
    
    	Finally I do not mind sharing the information about the NAIC, if I
    don't violate any laws, but there is a considerable amount to
    disseminate.  The sheer volume of it would require an inordinate amount
    of time which I feel I could not accomplish. 
    
    Ken

    Re:  .3
    
    Ken,  Many thanks for your thorough explanation.  Based on it, I called
    (313-543-0612) the NAIC and ask for their introductory package.  Just
    based on what you described, I think I can get additional education and
    benefits by trying them.  
    
    Thanks again
    Juan

    The number for NAIC has changed.  It is now 810-583-6242

    Regards,
    Kevin