A.I.M. Users Bulletin Board

[ls7550]

My AIM rulebook :

Rule 1 : Stay as close as possible to Lichello's Original AIM

Rule 2 : Normally don't Buy/Sell above Buy/Sell Advice

Classic AIM is a good choice.

Common investment failures involve not managing the portfolio appropriately ... such as a 50/50 investor not rebalancing back to 50/50 after stock declines in fear of further declines; Capitulating at the worst possible times, liquidating paper declines into real losses; Being too greedy or too conservative (all stock or all cash).

AIM (50/50 initial) reduces early years sequence of returns risk, will tend to broadly yield a higher reward than yearly rebalanced 50/50 by around 0.5% more annualized, and is possible to be run by pre-calculating next trade price/amounts and placing market orders such that you're more inclined to actually trade as/when appropriate.

0.5% more might not seem much, but is the difference between a conventional 4% 30 year SWR and a 4.5% 30 year SWR.

Clive