"Foreign News" - Bob Norman mentioned he received an order for the Newport software from an Australian recently. So we have Crocodile Dundee on our side now!
Also, I received a very nice note from a Canadian currently living in Brazil who has some interesting historical perspective on AIM. He mentioned the book "The Money Spinner" as a very well written, advanced AIM tome. This book has been mentioned here before, but I've never been able to come up with a copy. It was published in Canada, I believe. Here's what Barry has to say:
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"Hello Tom,
I have some questions to ask and some information to provide
relating both to AIM in general and to the upcoming Users meeting. First however let me briefly introduce myself.
I currently reside in Sao Paulo, Brazil after having spent nine years in Korea. Originally from Canada I work for a New York based company. I have dabbled with AIM (under a different name) in the past but recently I have started seriously to use this method. I have found your site to be both very interesting and extremely useful. Thank You very much for producing and maintaining it.
I would very much like to attend the Users Meeting and though at present I am not certain if I can, I feel reasonably sure. By the middle of March I should know for sure. This leads to my first question. Do you think I should register and/or book a hotel room immediately or should I wait until mid March? My inclination is to book now and cancel later if necessary. I plan to do this by the end of this week unless I hear from you to the contrary.
Sometime in 1980 I picked up a book in the "Self-Counsel Series" (Published in Vancouver, Toronto, and Seattle) which was widely distributed in Canada but may not have been distributed much in the United States. The title of the book was "The Money Spinner" by Chuck Chakrapani. This is the "AIM under a different name" to which I referred above. Basically the system is AIM with a few added features.
The book has a section titled "Some Questions Answered" and one of the questions is "Is The Money Spinner Concept New?" The answer given is a qualified YES. The author then goes on to say several things:
(1) the concept of dollar cost averaging has been known for years
(2) "double dollar cost averaging" was introduced somewhat later which increased the profitability of the system
(3) subsequent to those developments, E. S. Emory introduced another system known as "dollar value selling" which is, in fact, the forerunner of The Money Spinner
(4) the dollar value selling system was adopted with varying degrees of success by different investors. Among this genre of techniques, perhaps the system developed by R. Lichello comes closest to the Money Spinner, Lichello's system IMPLICITLY utilizes the dollar cost averaging and dollar value selling principles...
The author then goes on to say that the existing systems although basically sound had some practical problems. The Money Spinner introduces at least three new features which improved these problems:
(5) introducing GTC orders into the system which creams out the profit the moment it arises
(6) introducing MBI and MSI (i.e. Minimum Buy/Sell Intervals) which in most cases eliminate some sell decisions which in fact can result in a loss to the
investor
(7) introducing the "one-stock-at-a-time" principle
Are AIMers generally familiar with this book? My guess is no. I was thinking that a possible topic during the users conference might be a brief introduction to The Money Spinner and how it relates to AIM. If you think such a
presentation might be interesting and/or useful please let me know. I would be happy to put together a brief introduction lasting anywhere from 15 minutes to an hour. If you think this is a good idea please let me know.
By the way I found out about AIM and your Web Site from Amazon.com to which I was lead after doing a search on the name Lichello which was prompted by (4) above. I immediately purchased Lichello's book and have now read it several times. I find that The Money Spinner is much clearer and less wordy. The two are each a great complement to the other. I found that while I could easily use the Money Spinner I could not really understand why and how it works. After reading Lichello's book I understand the Money Spinner much better. Also I feel I understood AIM much better than I would have had I not previously read the Money Spinner.
I could find no references either "dollar value selling" or to E. S. Emory in the Web or elsewhere. Do you have any information on these things?
I am very interested in the Users Meeting and I will do everything in my power to be there. I am particularly interested in simulations and testing the various AIM
parameters (e.g. buy and sell resistance) and I do a lot of programming in this regard.I hope to compare notes with others who are interested in the same thing.
Let me close by once again saying thank both for your Web Site and for the upcoming users meeting,
Barry"
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Many of The Money Spinner ideas sound awfully familiar to those of us here! GTC orders set at limit prices around our minimum trades! Sounds like I could have saved myself LOTS of time in my early AIM days if I'd stumbled upon the book!!
I personally have tried to locate The Money Spinner and usually find it listed as 'out of print' and 'out of stock'. I think a book report sounds like a great idea!
I certainly hope Barry can attend!
Best regards, Tom |
