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Strategies & Market Trends : A.I.M Users Group Bulletin Board -- Ignore unavailable to you. Want to Upgrade?


To: Jack Jagernauth who wrote (10312)2/21/2000 5:58:00 PM
From: OldAIMGuy  Read Replies (1) | Respond to of 18929
 
Hi Jack, Thank you for thinking of the Investment Club idea and for your nomination. Doesn't look like we're going to be overloaded with members at this point! :-)

I've never been a member of a club, although I've given talks about AIM and Twinvest at a couple over the years. It's amazing that most clubs remain almost 100% invested at all times and that Dollar Cost Averaging is still their M.O. I would think that Twinvest and AIM would be naturals for a club.

One would use Twinvest for the incremental accumulation of the equity and then manage it with AIM once it was "fully funded." Then start Twinvesting the next "new" equity item.

It would take some thinking on how much to build each equity holding via Twinvest. Would one assume that $10,000 was the proper amount to accumulate in an individual account before switching to AIM? That might not be a lot of shares of Berkshire Hathaway! :-) If a club was "taking in" dues of $1000 per month, then the $10,000 might be feasible. I don't think most clubs would want to spend more than 10 months building a position before starting the next.

Thanks for bringing the idea up. It would be fun to take AIM and Twinvest's results to an NAIC meeting sometime for "Show and Tell!"

Best regards, Tom