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Re: Conrad post# 32895

Tuesday, 11/16/2010 2:15:53 PM

Tuesday, November 16, 2010 2:15:53 PM

Post# of 47380
Hi Conrad, To check this I took one of my AIM spreadsheets (CGNX) and added $2000 worth of shares on 3 subsequent days keeping the share value the same. So I added 2000 to PC and added 2000/(share value) shares to the number of shares held.

What happens is the PC/share went up, not by much but it does go up. PC/share is the center value around which AIM trades. So ironically the effect of adding stocks in this way (outside of the AIM algorithm) has the effect of making AIM want to do more buying.

I think if you add shares like this once in a while and the amount is not overly large compared to the PC value you'll be ok. But if you do this on a regular basis or add a large amount, it does move the hold interval up.

You could start a new AIM program with the same PC/share value and with the increased portfolio value, but it would be awkward each time you add new money.

Adam
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