Hi Satbir
1)You do not have enough money to buy individual stocks and use AIM.
To have a minimum trade of $500 = 5% of stock value you would need to invest $10,000 in stock and $5,000 in cash reserve. If you want to own 20 stocks to be diversified (if one tanks at most a 5% loss) you would need $150,000 at a minimum to start.
Yes there are other ways but I won't go there in this discussion.
2)The ONLY risk in using AIM is that an INDIVIDUAL stock will become worthless.
That is not a problem with Index Funds or Exchange Traded Funds
3)If you use funds you can be diversified with as few as five funds......and you can use TIME to diversify!
4)You can use time to diversify. Buy one fund every year or two. Decide which funds you want to own when you start and add the ones you don't yet own each year.
5)Own only five funds (large value, small value, forien, REIT, Bond)
6)Are you investing because you want something to do or are you investing to spend time doing what you enjoy?
Not always
Toofuzzy
Take the road less traveled. It will make all the difference.
