Hi jmp
>>>>Thanks for the reply. I just got the 3rd edition of Lichello's book today and will be reading up on AIM. Is there a minimum or maximum weekly or monthly volatility I should look for in an AIM stock?<<<<
No not really. I happen to like ETF's as apposed to individual stock because ETF's can not go to zero (I hope >grin<)
I would either diversify by style (large, small, foreign, bond, etc) or by industry.
If by industry I would pick industries you believe will do well over MANY years (even if not now)> Look at Tom's writeup on his original retirement account picks.
Having said that healthcare has not been very volatile over MANY years while biotecnology might be a better pick.
So maybe some picks like
Finance (yea I know but at least we can hope they are at a bottom)
Biotechnology
Technology (of some sort)
Energy
Minerals (another industry that has to come back eventually)
Consumer PRODUCTS (as apposed to stores, I personally hate retail)
S+P devides the S+P 500 in to 10 (I think) broad industry groups, You can either use their funds (will only hold the 500 large caps though) or just use that as a guide as to what to pick from using I-Shares ETF's for instance.
By the way. Let's say you want to own 6 industries ultimately but "only" have $30,000. You could set up AIM accounts with 2 of them ($10,000 stock and $5,000 cash each 10% SAFE, 5% Min Order size) and then add another fund every year or two or three as you have additional funds.
I would stay away from all the tweeks to AIM for now. You have enough to learn. Low Down AIM particulary will have you sell completely out when the market "eventually" rises.
Hope that helps
Remember I am
Toofuzzy
Take the road less traveled. It will make all the difference.
