Thinking about pooling your money with friends or colleagues to invest in shares, property, or start-ups? Investment clubs are booming again in Australia, and 2025 is shaping up to be a pivotal year for group investing. With updated ASIC guidelines and a new breed of digital platforms, the traditional backyard investment club is getting a tech-savvy makeover.
Why Investment Clubs Are Back in Vogue
After a lull in the 2010s, investment clubs are seeing a resurgence across Australia. Rising living costs, high property prices, and the desire for diversified portfolios are pushing more people to invest collaboratively. Here’s why the club model is appealing again:
- Shared knowledge: Members pool expertise to research investment opportunities.
- Lower barriers to entry: Clubs make it possible to access markets or asset classes that might be out of reach individually.
- Accountability and discipline: Regular meetings and group decisions help keep members engaged and on track with their investment strategies.
- Social connection: Investing with others can be a fun and educational way to build wealth.
According to a 2025 survey by the Australian Shareholders’ Association, more than 12% of retail investors now participate in some form of group investment, up from just 7% in 2021.
How Investment Clubs Work in 2025: Structure, Rules, and Digital Tools
Traditional investment clubs typically consist of 5–20 members who contribute regular amounts (say, $50–$500 a month) into a shared brokerage or managed fund account. Decisions are usually made democratically, with each member having an equal vote.
In 2025, clubs are leveraging new technology to streamline operations:
- Online platforms like Sharesies and Superhero now offer group accounts and transparent tracking of each member’s stake.
- Automated recordkeeping with apps such as ClubInvest, which manage capital contributions, voting, and tax reporting.
- Virtual meetings using platforms like Zoom or MS Teams, making it easier for geographically dispersed members to participate.
Regulatory update: In 2025, the Australian Securities & Investments Commission (ASIC) clarified that investment clubs must comply with the same anti-money laundering (AML) and know-your-customer (KYC) regulations as other retail investors. Clubs with more than 20 members or more than $2 million in pooled assets must register as managed investment schemes. This change, effective July 2025, aims to protect members and increase transparency.
Benefits and Risks of Joining an Investment Club
There’s a lot to like about investment clubs, but they’re not for everyone. Here’s a breakdown of what to consider before joining or starting a club in 2025:
- Benefits
- Learn from others’ successes and mistakes.
- Access larger investments than you could alone.
- Share research and diversify across asset classes.
- Potential for lower brokerage fees via pooled trades.
- Risks
- Groupthink can lead to poor decisions if dissenting voices are ignored.
- Disputes over strategy, withdrawals, or profit-sharing can sour friendships.
- Tax and legal complexities increase with club size and asset variety.
- ASIC’s new rules mean more compliance and paperwork for larger clubs.
Real-world example: The Sydney-based “Harbour Investors Club” started with six friends in 2019 and now has 18 members. They’ve collectively invested in ASX 200 shares, a fractional commercial property trust, and a handful of early-stage fintechs. In 2024, they had to restructure under ASIC’s new guidelines, appointing a club secretary and using a specialist platform to manage compliance—an extra administrative step, but one that allowed them to keep growing.
How to Start or Join an Investment Club in 2025
If you’re interested in group investing, here’s a roadmap to get started:
- Find your people: Look for like-minded friends, colleagues, or neighbours with similar financial goals.
- Agree on rules: Draft a club constitution covering meeting frequency, voting procedures, investment focus, and exit strategies.
- Choose your platform: Compare digital club platforms for ease of use, fees, and compliance support.
- Open a club account: Set up a brokerage or managed fund account in the club’s name, ensuring AML/KYC checks are complete.
- Stay compliant: Monitor club size and assets to remain within ASIC thresholds, or register as a managed investment scheme if needed.
Many clubs also bring in guest speakers or use model portfolios to spark discussion and keep things educational.
Conclusion: Is an Investment Club Right for You?
In 2025, investment clubs offer Australians a compelling way to learn, diversify, and invest more confidently—especially with fresh digital tools and clearer regulatory guardrails. Whether you’re a seasoned investor or just starting out, joining a club could turbocharge your financial journey. But as with any group venture, clear rules and open communication are key to long-term success.
