Like radio stations that play the Flock of Seagulls and barbers who know -- really know -- how to cut the high fade, investing clubs are quickly disappearing. But is that a bad thing? According to a recent Reuters article, there are only about 5500 investment clubs in the U.S., down from 60,000 during the tech bubble.
"Oh, the numbers are definitely down," says Adam Ritt, communications director for BetterInvesting, the Madison Heights, Michigan-based investors' association whose members include clubs around the country. "It's been a steady trend downward for a long time."The article hypothesizes about the reasons for the investment club's demise, citing poor stock market returns, online investment research, and less money around to invest. But these aren't the real reasons investment clubs are disappearing.