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Strategies & Market Trends : A.I.M Users Group Bulletin Board

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To: Bernie Goldberg who wrote (12957)9/28/2000 7:36:15 AM
From: OldAIMGuy  Read Replies (1) of 18928
 
Hi Bernie, Experience is a great teacher. It takes time to realize that it's far better to always be profitable on every trade than it is to be highly profitable on some and to lose on others. It's better financially and emotionally.

There are many ways to be anything but 100% invested. AIM is one of them. Every form of risk management, whether it be a market timing method, diversification, asset allocation, AIM, etc. is really a form of "insurance." Insurance doesn't usually come for free. In the case of Life Insurance, there's cost all along the way but when our cold corpse's are rolled away, there's an instant estate waiting for our loved ones!

The reason I keep "REAL LIFE" examples on my web site
aim-users.com
is so that people can see that I'm making money, even with the cost of AIM's "insurance." There's always a way to potentially beat what I'm doing, but only with a much higher risk to go with the reward. In the case of UOPIX, think how Mr. Buynhold would be feeling about the setback from about $140/share to its current $70/share. AIM took profits all the way and is now using that wonderful harvest to reinvest and approach Mr. Buynhold's 100% invested status. There will be lots of shares in the account when the buying is all through. A couple of more exuberant cycles and we'll have more shares that Mr. B. and be laughing all the way to the tax office.

Cat Skinning comes in many forms. It takes time to find what is right for the skinner.

Best regards,
tom@aimtoskintheshorttermtradersalive.com
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