A.I.M. Users Bulletin Board

[OldAIMGuy]

Hi Marv, Re: Performance goals for the long term............

Over the decades I've usually thought of my goal as Inflation plus a
rational amount. Maybe 3% to 5% on top of inflation as an average annual
gain in the long term. Such a number is do-able, but not every calendar
year. Some will be down years where the following year(s) you'll need to
make up for the losses.

AIM and I have been managing to do okay over the nearly 30 years I've been
doing this. My investing provided for a family of four until my kids went
off on their own. You can look at a higher goal if you're not living off
the investing currently. I think a portfolio that is designed to provide
living expenses should have a goal of inflation plus 0% to maybe 3%.

A portion of my portfolio is designed for satisfying living expenses. The
rest is designed to provide long term growth. The ratio of those two
portfolio components is what will determine the overall performance in the
long run.