InvestorsHub Logo
Followers 15
Posts 2724
Boards Moderated 2
Alias Born 01/05/2004

Re: OldAIMGuy post# 36617

Tuesday, 05/21/2013 10:37:05 AM

Tuesday, May 21, 2013 10:37:05 AM

Post# of 47156

A conservative 20-80 stock/bond (cash) blend is generally better than an all bond choice. When AIM'd with the AIM LO settings it rode through some horrible times relatively well


SSO which is a 2x leveraged S&P500 index ETF, when AIM LO settings were used and starting at the 2008 peak prior to the 2008/9 financial crisis :



50% SSO, 50% TIP will generally track 100% SPY provided you rebalance back to 50-50 once each year.

So 20% SSO with cash in TIP could be considered as a form of 40% stock exposure. When AIM buys more stock however as prices decline, and perhaps gets down to 50% cash reserves remaining, that's like being 100% SPY - but you still have 50% cash reserves to call upon should the price continue lower.



I've uploaded some further details at http://tinyurl.com/bzegvqb to keep the entertainment going whilst aim-users.com remains down.

Clive.

Join InvestorsHub

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.