Gave brother $ to invest for me but he bought...

[Anonymous]

I really don't understand at all why you would give him money to invest for you. You can just open a free account at Vanguard and buy an S&P500 mutual fund for free. Also if he invests for you in his account, he has the pay the taxes on any gains. Seems very strange.

Did your brother suggest this or did you? If he suggested it, I would wonder if he is having money / gambling problems and he needed your money to try and get a big score to solve his money issues.

[Anonymous]

Anonymous wrote:I gave my brother $10k to stick in a safe and steady S&P500 index account, but he bought something ridiculous like Norwegian Cruise Lines, which of course lost money. Do I ask him for the money back, less whatever he lost or the entire 10k back? He also offered to reinvest the money in an index 500 bit I'm not sure I trust him to do that.

If you "gave" him the money, that money is gone. Why do you think he owes you money back??

[Anonymous]

We have investment accounts with Fidelity and use their investment manager (instead of doing it on our own). Sometimes, the accounts lose money. Fidelity doesn't make up the loss for us. This is the nature of investing: there's no guarantee of making money.

[Anonymous]

By the title I thought this would be mildly more interesting. Something like "I gave my brother money to invest for me but instead he bought a motorcycle." Or "I gave my brother money to invest for me but instead he bought a condo for his mistress."

[Anonymous]

You let him choose the stocks, so it's on you, OP.

Next time, handle your money yourself. I knew nothing about stocks when I invested, and I bought Amazon, Google and Apple. Turned out well for me.

[Anonymous]

Anonymous wrote:

You let him choose the stocks, so it's on you, OP.

Next time, handle your money yourself. I knew nothing about stocks when I invested, and I bought Amazon, Google and Apple. Turned out well for me.

I asked him to buy an index fund, and he agreed, so I don't let him choose stocks.

[Anonymous]

I’m confused.

Is this money that you gave to him, for his benefit?

Or did you give it to him with the idea he would invest it for you, in your name?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

You let him choose the stocks, so it's on you, OP.

Next time, handle your money yourself. I knew nothing about stocks when I invested, and I bought Amazon, Google and Apple. Turned out well for me.

I asked him to buy an index fund, and he agreed, so I don't let him choose stocks.

Why didn't you do it yourself? I feel like the backstory here is going to much more interesting than your post? Did you slowly siphon $10K out of your joint account with your husband and ask your brother to invest it so that you have fall back money once you leave him and now all the money is gone and you are stuck with an abusive husband? Can we provide any resources to help you?

[Anonymous]

There are tax implications for this, op. Hire someone if you don’t want to open an account yourself but don’t treat your brother like your secretary. He owes you nothing you owe him an apology.

[jsmith123]

If something like this happened to me, I would immediately sever all financial ties I had with the person. If he somehow controls this <10K, I would get it back immediately, even if you have to sell it at a loss.

Consider it an expensive lesson in not mixing family and money.

Sorry OP. I would be pretty upset by this.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

You let him choose the stocks, so it's on you, OP.

Next time, handle your money yourself. I knew nothing about stocks when I invested, and I bought Amazon, Google and Apple. Turned out well for me.

I asked him to buy an index fund, and he agreed, so I don't let him choose stocks.

Same thing, OP! You let him have control over something, which was not done to your satisfaction, and now the person you should be mad at is yourself. Unless, as another poster said, you're in a rare situation where you cannot do it yourself. Either way, you should now ask for the 10K back and either handle things yourself and be more careful when picking a responsible manager.

[Anonymous]

This makes no sense whatsoever. Just open your own account Vanguard or Fidelity account. If you want individual stocks open a Robinhood account. You don't need a middleman. If you want to ask him for advice go ahead but control your own investments.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

You let him choose the stocks, so it's on you, OP.

Next time, handle your money yourself. I knew nothing about stocks when I invested, and I bought Amazon, Google and Apple. Turned out well for me.

I asked him to buy an index fund, and he agreed, so I don't let him choose stocks.

Why didn't you do it yourself? I feel like the backstory here is going to much more interesting than your post? Did you slowly siphon $10K out of your joint account with your husband and ask your brother to invest it so that you have fall back money once you leave him and now all the money is gone and you are stuck with an abusive husband? Can we provide any resources to help you?

Thank you for seeing me. I didn't siphon money because DH controls all the money. I made this money, $5 at a time, by selling bread that I bake. In my culture, blood is thicker than water and I was sure my brother would help me as he's seen how mentally unstable DH, his BIL, is. My brother knows all this and still he did this to me. I feel so betrayed. I wonder if he told DH. DH had been unusually nice to me and the kids lately. What a mindfuque!