Advanced Automatic Investor

[aptus]

Hi Dick,

I see AIMster answered your question. What he says is exactly right.

I always recommend creating a separate portfolio for each equity position as I don't see a disadvantage to it. You can always have your cash pooled in one underlying brokerage/bank account (so at the brokerage account level you really have one account).

At the AI level, you can separate your funds into multiple logical portfolios. AIM works best that way. The only time I would recommend putting multiple funds into one AI portfolio is when you're quite certain the funds are highly (i.e. > 85%) correlated -- even so, there's no disadvantage to putting highly correlated funds in their own portfolios.

I hope that helped. Let me know if you have any other questions.