Read Lichellos' 4th edition book years ago and never implemented it. "Too busy earning a living to take control of my investments" is the excuse I tell myself.
I need to do better than buy and hold. Like it or not, I'm a portfolio manager of 401k, IRA, Roth and MM holdings...
I was surprised to find this dedicated group of AIM users. I've dusted off my book and made my excell sheet. No need to create a C++ program for this model, it's so simple. I will be sifting these posts for your improvements to Lichellos' method.
Questions for you:
1). All of the AIM charts/sheets I've seen leave out the transaction costs of market orders. Why? Wouldn't you want to include these trading costs? Except for retirement accounts, there are transaction costs that are detrimental to earnings.
2). Lichello said his system was superior because during periods where stocks were lackluster, paying low dividends or topping out, the cash portion always earned 5-6% interest to supplement the portfolio earnings. Clearly this is no longer true. Anyone find a safe place to hold their cash that earns more than 1% these days?
3). In your opinion, which tweak to AIM provides the best results?
TKS, WinAudit
