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

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To: $$hungry who wrote (5341)8/16/1998 8:32:00 AM
From: OldAIMGuy   of 18928
 
Hi again $$, Yes, I missed the point of your question. Sorry.

Here's two answers! Maybe it'll make up for missing the first one!!

If you plan on making regular - periodic investments, I'd use TWINVEST to split up the allocations. Don't worry about the time lag between your mailings and the actual purchases. Just report the actual transaction when the report comes back. Even in a really hot market, you won't have missed by much on the allocation. Keep the Cash Reserve part of the Twinvest account in a money market account.

If you are sending in money to an existing AIM account and it's being done only once in a while, then split the allocation according to the AIM account's current equity/cash ratio. Again, keep the cash in a money market account. When you report your actual purchase to AIM, it'll grind out your next buy and sell points once you've added the value of the purchase to Portfolio Control. Again, the time delay and differential between the price the day you mail in your request and the actual price you get is probably insignificant, and AIM accounts for it automatically.

Actually, this is similar to what AIMers experience with mutual funds. We call in and place our orders before the close of business one day and don't know what price we get until after the close. If we call after the close on one day, we get the next day's closing price. AIM takes care of these minor differences and doesn't complain.

Best regards, Tom

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