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


To: Ray Jahn who wrote (3604)12/18/1997 11:27:00 PM
From: Steve Nelson  Read Replies (1) | Respond to of 18928
 
Ray, I use AIM for my 401k. I had to tighten it up a bit in order to get trades. I'm currently using a 2% buy/sell resistance and lowered the minimum purchase to get more trades in the mutual funds. I get 12 free trade per year and at this new setting I think I should be right there. I started with 10% buy/sell but I was only getting trades about every 5-6 months. The mutual funds I can choose from are not as volatile as the indivudual stock I own. Nice thing about the 401k, at least for me, is commissionless trading.

Steve N



To: Ray Jahn who wrote (3604)12/19/1997 1:15:00 AM
From: RFH  Read Replies (1) | Respond to of 18928
 
Welcome, Ray. I'm certainly no AIM expert, but when I look at a chart of a possible AIM candidate stock, I look for oscillations of 20% or more, peak to trough, a few times a year. This certainly appears to be the case with IOM. You just have to have enough shares to make it worthwhile. Also, does your 401K allow you to trade at will, or only at set intervals. In my profit sharing plan, which I direct, I currently have three AIM stock "accounts," and in my wife's IRA, which I also direct, I have one mutual fund AIM "account." These accounts are all updated weekly with the Newport Software. All of my stock accounts are in the red, but they are relatively new; however, the mutual fund account, which is invested in BTTTX, is moving along profitably slow but sure. There is a thread on SI devoted to mutual fund AIMing, which you can find at:
Subject 12889
Good luck, and ask away!!

Sincerely,
RFH



To: Ray Jahn who wrote (3604)12/19/1997 1:57:00 PM
From: OldAIMGuy  Read Replies (3) | Respond to of 18928
 
Hi Ray and welcome to the AIM BBs.

As far as I can see, IOM has plenty of jump and jive to qualify for an AIM stock. I don't follow it myself, so take some time to study the fundamentals and make sure you're satisfied there as well.

If you are already involved with IOM, then turn to AIM to assist your risk management of the stock. It looks like it fell in sympathy with QNTM and some other stocks in that area.

For your 401K, you might want to use AIM for the existing account. You might want to check my list of stock funds that look good for AIM at:
execpc.com This will help you narrow your search.

For your ongoing contributions to the 401K, I'd suggest you use TWINVEST and pick another mutual fund that the one(s) you already own. Twinvest is such a good shopper, that it should help. Also, when you are ready to turn that new account into a new AIM holding, the cash reserve will already be there. Then start a new Twinvest account, etc.

Your 401K may have limits on how often you can make adjustments to the asset allocations. If so, that will determine what your frequency of updates will be. If you can make changes monthly, that's great. If Quarterly, you will still get most of the big market trends.

With AIM, mutual funds tend to wad up lots of cash over time. To counter this tendancy, I suggest that you use a Buy SAFE of 0.0% and a Sell SAFE of 10%. This will help considerably. It helps AIM to buy more aggressively when prices fall.

As a second measure for limiting the cash build-up, I suggest you use a ceiling for the Cash Reserve. If the mutual fund is a diversified one, then you can use the Idiot Wave's suggested level. However, if it's a sector fund, then you will want to use something a bit higher than the IW's suggestion for mutuals. Right now the Idiot Wave is suggesting that we use 34% Cash Reserve with diversified mutual funds. It's suggesting 51% for individual high BETA stocks. So for sector funds, you might want to shoot in between.

Please feel free to ask away here on the BBs. There's plenty of other folks that will be happy to help as well! Again, welcome to the AIM BB, probably the nicest group on the Web!!! (even if I do say so myself!!)

Best regards, Tom