Hi TF and Tom,
Thanks for the welcome! TF, I really wasn't trying to suggest an "improvement" to AIM, but stating my gut reaction to Clive's reply and explanation to Earthpet. If AIMing the 1x Long ETF and using the Double Inverse for the Cash portion had those negative attributes, would doing the opposite reduce those effects?
Probably an hour after writing that post, I read the exchange between Clive and Tom (#70-72) on the AIM UK board and probably would not have written at all if I had read that first.
Although, speaking of improvements to AIM, two ideas that made me reconsider using AIM as an investment strategy were Tom's development of the "Vealie" and the "I-Wave". The backtesting I had done in 2000 showed that Buy&Hold beat AIM, but I wasn't sharp enough to figure out why or what to do about it (beginning investor). Another idea that appealed to me was the suggestion to consider using trailing stops for buys and sells to reduce the number of transactions and increase the magnitude of those transactions. I think it was made by Toofuzzy.
I wasn't thinking of leveraging, necessarily, even though that was implicit in the post by Earthpet and the reply by Clive, and so was a legitimate response by you. I really am not interested in emulating the Investment Banking industry "Leverage Up" debacle, so thanks for the caution.
Regards,
Bob
