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yeah, it's like loaning money to friends or relatives. in the end, you'll
write it off as a gift to preserve the friendship or family good will.
i agree with jim that if you want good fiscal accountability, segregate
the accounts. i suspect that that their contributions are very small when
compared to your account and couldn't meet minimum brokerage account standards
alone. in that case, give em back their money and say "sorry, no can do."
they might be pissed for the short term, but i guarantee you that they'll
be long term pissed if you lose their money.
good luck
TJ
At Mon, 15 Nov 1999 14:51:14 -0800, James Parris <jparris@xxxxxxx> wrote:
>It is often a *BIG* mistake to trade for friends and family.It will
>almost certainly change your trading style - trying to do the right
>thing and trying to please them at the same time.
>
>It would be far easier, from an accounting pov, to use separate accounts.
>If you must use your account, treat it like a mutual fund. Sell shares
>and calculate a theoretical Net Asset Value each day (equity/shares).
>
>Jim
>______________
>Dirk II wrote:
>
>> Two relatives of mine want me to trade their own funds as well as
>my own. How does one keep account of the funds, particularly if there
>is a profit-sharing arrangement in place (fixed percentage), when any
>of the parties makes periodic/irregular withdrawals?
>>
>> Money is fungible, of course, so I will trade from one account (my
>own, augmented with their funds).
>>
>> A new problem, but not an unwanted one.... Any advice (software, books
>etc.) much appreciated.
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