News Focus
News Focus
Followers 17
Posts 2816
Boards Moderated 2
Alias Born 01/05/2004

Re: OldAIMGuy post# 47240

Tuesday, 08/27/2024 2:09:52 PM

Tuesday, August 27, 2024 2:09:52 PM

Post# of 48317
Hi Tom

Something I've noted over the years and is demonstrated in your two histories is that AIM's recovery is generally faster and better than the S&P 500 benchmark. When the markets do tumble



A large part of why AIM yields a higher SWR is due to reduction of drawdowns. Start drawing at a bad time, a market peak that soon tumbles (a "earlier years bad sequence of returns risk") and SWR will ... struggle. If those dips are less deep, recover quicker, then the struggle is alleviated



That chart is for nominal drawdowns, additionally factor in inflation and real drawdowns for all stock can be deep and extended, whereas again AIM tends to be less deep/prolonged.

Clive

Discover What Traders Are Watching

Explore small cap ideas before they hit the headlines.

Join Today