To: OldAIMGuy who wrote (7975 ) 7/16/1999 4:06:00 PM From: OldAIMGuy Read Replies (3) | Respond to of 18928
Hi everyone, Further to the discussion on various AIM modifications..... First, when we learn to drive, it's not the time to go experiment on new performance options. All we have is the "book knowledge" of what's involved in driving. It takes "seat of the pants" experience before we can even make use of what we have without changing anything. This was just as true at the high performance driving school I attended in early May of this year. That school uses Ford Mustang Cobra GTs as its usual stable of cars. However, you can bring your own race car there for the time as well. There was a newer racer there who had brought a beautiful new Porsche Carerra 4 there for the class. In the morning session, as warm-up and for the instructors to evaluate all of us, we all went out in the Mustangs. This particular person was, at best, a "moving chicane" out on the track. If you came up behind this person it was just as well to pull into the pits and wait for the car to get far away again! At the end of that early session I overheard this person saying, "I'll be glad to get into my Porsche; those Mustangs are SO SLOW!!" RIGHT!! IT WAS THE CAR'S FAULT!!! This person was still slow in the Porsche! It is important to understand AIM for the same reasons. With the computer tools and software now available to the AIMer, we can condense the learning time and understanding rather dramatically. But, it's still important to make sure we know what we're doing before we attempt to "supercharge" our accounts. I think this is what Bernie G. is getting at. Here's some further data relating to the web page execpc.com : 17 Year History Of AIM And Modifications Method Ave. % At Risk Total Return ROCAR By The Book 40.7% 461% 1133% AIM W/Split SAFE 55.2% 785% 1427% AIM W/"vealies" 71.8% 1074% 1495% AIM W/SS & "vealies" 72.8% 1440% 1978% Buy&Hold 100.0% 1710% 1710% So with essentially 17 years of straight bull market, AIM needed lots of help to attempt to compete with Buy and Hold. The biggest gain with the least increase in risk on a ROCAR and total return basis came by combining the Split SAFE and "vealie" concepts. In more "normal" market times Buy And Hold over this much time would not have done as well against the other methods. What will yet happen in the future remains to be seen. Please choose the model that best suits your capabilities, understanding and point in life. AIMers, Start Your Engines! Best regards, Tom