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

To: OldAIMGuy who wrote (4837)	6/6/1998 5:58:00 PM
From: Dataminer1	Read Replies (1) \| Respond to of 18928

Hello everyone, Thanks for welcoming me to this board. I wanted to let you know about a little project I'm currently working on. I'm building an Excel Workbook that contains the Twinvest system, a Dollar Cost Averaging, and a Value Cost Averaging page. All three of these methods are suitable for those who don't have the capital available to start an AIM system but wish to use a systematic investment method. It will be especially useful for comparing the results of these methods of investing by simply entering the prices on the first page, and clicking through the others to compare the results, although I'm still deciding whether to make them each stand-alone systems which can be used independently. I trust you are familiar with the Value Cost Averaging method of investment which seems to be closely related to Twinvest. In a nutshell, value cost averaging adjusts the amount of monthly investment committed to funds or equities in relation to the percentage change in price. Say you decide to invest $100 a month in a fund with a beginning share price of $10. When the next month rolls around, if the price has risen to $12, you would invest 80% of your monthly investment in the fund and put the additional 20% in a cash reserve which is used to draw against when prices drop. Say the next month, the price has dropped from $12 back to $9 (a 25% drop). You would then invest $125 and so on. I think you get the idea. The only trouble with Twinvest and VCA is that it seems to take quite some time to see results appreciably better than DCA, and in this era of short term investing, a lot of people will yawn at the slightly improved results. On another note, I have been looking at charts of both IDTI and VLSI, which seem to have always been good AIM stocks. They both seem to be at a point where the risk/reward is minimal and appear to be at levels that would probably be a decent entry point for those wishing to set up new AIM accounts. I was thinking it would be great if the SOX index was traded as a stock like the SPY, MDY, or DIA since it seems to be extremely volatile and would probably be great for an AIM system since it has virtually no chance of going to 0 like some of these speculative semi stocks. Do you have any pull over on the AMEX? ;) I was wondering if you had ever seen Uncle Fred's buy/sell web page az.com and if you subscribed to his "underground investment " mailbag that comes out every week. It is fairly interesting although he seems to favor stocks that are too small to be on my radar screen. Uncle Fred has been using our PCA system for a while now (he was using his own version of AIM on paper and with no SAFE), and seems to be converted to the use of technology to manage his account. He also has a very interesting web page on his "rules of investing" which can be found at az.com This page contains some very useful investing information for beginners as well as information for subscribing to the "investment underground" mailbag. Take care and have a good weekend. Dataminer1@stocksystem.com The McKinley domestic equity storage unit