Mr L's model
In the 8th year, it calls for selling $186,264. Tom's post came from the viewpoint that we will have a portfolio of stocks worth somewhere near $1MM, and that a sale of each of 25 issues would only come to $7,451.
This is a very sensible way to view the situation. We will get to this point long before any one of our issues reaches $1MM in size.
When any one of our AIM issues reaches $1MM, we will have been very gradually increasing our trade size over the years. By the time this AIM issue reaches $1MM, we won't really think too much about the fact that we are trading $50,000 at a whack. Keep in mind that we will have between $200,000 to about $800,000 in Cash for this AIM.
As Steve mentioned before, this is a dramatic shift in mindset. For most of us, it will occur so gradually, over perhaps one or more decades of our lives, that we won't really notice. Only when we reflect on our experiences in the early days of our AIMs will we realize just how far we've come.
Robert |
