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

To: Bernie Goldberg who wrote (15424)	3/29/2001 8:50:16 PM
From: duke-nukem	Read Replies (2) \| Respond to of 18928

Bernie, I do have the cash and willingness. However, my bride and I are in the process of buying a house, so a lot of the excess funds won't be available for a couple of months. More's the pity. Anyway, I'm getting ready to send enough cash to reach the 33-40% ratio; however, if I follow AIM right now, it's yelling at me to pretty much spend it all. FWIW, I have another soon-to-be AIM stock that is actually above where I bought. I'm deciding which stock to allocate the funds to first as I can't cover all of them right now. Any suggestions from the thread? I could split the money between all the stocks, leaving them all in the low cash percentages. I guess that would leave in my current AIM-less state a while longer. Thanks for all the input.

To: Bernie Goldberg who wrote (15424)	3/30/2001 8:52:05 AM
From: OldAIMGuy	Read Replies (1) \| Respond to of 18928

Hi Bernie, Yes, it's no fund to only play half the AIM Game. If one starts with inadequate cash reserves, then the Sell side is all that's available. From personal experience I know this to be true. When I started AIM in Jan of 1988, I started all of my accounts with essentially zero cash. The reason was that I'd just spent all my cash doing AIM-like buying during and after the "crash" of 1987. A year later I had at least some comfort level in my cash reserves. By the 1990 Bear, I had managed to bring the reserves up to full power and was ready for that down-turn. As many have found out, there's no quick fix for a market with a bad attitude. Either way Duke starts, there will be FIFO losses on the first couple of sales. It's a matter of how quickly the LIFO gains start to repair the initial damage. If we assume the market price of the security is yet to fall another 50%, then your way would add the most comfort. If we assume the market bottom for that security has already been reached, then AIMing from the $20 price would be better. Those are two big IF's! Best regards, Tom