Not enough money for AIM investing? Introducing Lean AIM!
Over my 30+ years of helping become become successful AIM investors, I sometimes hear people say "I would love to use the AIM method but I don't have enough money to get started."
I have a new strategy that is very low cost that I want to explain to you. I'll give the essential info here then I can go into more detail over the phone with you later if you call me.
If you are new to me, you should know that I am always looking for ways to improve on the brilliant AIM system first developed by Robert Lichello. The biggest improvement I made was to introduce LEAPS (long term options). Lichello advocated AIM only with stocks.
But we can't fault him for this too much because LEAPS didn't exist when Lichello created AIM!
An essential part of AIM is to always keep 50% of your portfolio in cash. For the small investor they often perceive that as reducing their available investing funds by 1/2.
Another essential investing strategy is to diversify. If you going to use AIM in your investing portfolio you shouldn't do it with only one company. You should do it with 10 or so companies.
Our current bear market is also holding a lot of people back from using AIM. As your prices fall, AIM recommends that you use some of your cash to buy more stocks or options.
I have some clients who kept buying more as prices fell over the past two years. This is why I came up with the new BEAR STRATEGY FOR AIM, and then the SUPER BEAR STRATEGY for AIM.
This new strategy combines the benefits of this plus it helps the investor who needs a low cost option to start with AIM!
My new low-cost strategy is called "Lean AIM."
Lean AIM is perfect for the investor who wants to take a "lean" approach to their investing while still gaining the benefits of the AIM method!
Before explaining this I need to mention one thing about bear markets. It is this: they always end eventually! As an investor you need to know this and be prepared.
That means buying when the prices are low so that you can earn the profits as prices rise - as the always do eventually!
Lean AIM takes this into consideration too. Here is what you do.
You will buy Jan 2025 Calls or Puts just like you buy 2025 LEAPS for regular AIM. But you buy only 1, 2, 3 or more contracts. You buy fewer than the 12-15 contracts I recommend with normal AIM.
Then you immediately place a limit sell for the contracts you just bought. Not a limit buy!
You only place the sell because you aren't using any cash with lean AIM to make any buys.
The other difference is that your limit sell is for ALL of your contracts. You are going to liquidate your holding of this company once the price increases by 25% or so.
Instead of taking a 25% profit on a portion of your holding of a company as with regular AIM, now you take a simpler leaner approach and sell all of your contracts.
Lean AIM will work well with Calls or Puts by the way.
Here is an example:
This is investing in Micron LEAPS using Lean AIM.
We made a limit buy for 3 contracts at $8.50. Once they were bought I immediately placed a limit sell at $10.50.
Limit orders are great because you can never sell for lower than the price of $10.50 but you might sell at a higher price like we did here.
We got our sell at $10.80 for an additional profit of $90. Overall, in 6 days we made a profit of $950 or 31%!!!
Hopefully you see that this way of investing is a good way to invest for investors will less cash and takes much less money to do than regular AIM.
Here is another example:
Tesla (TSLA) is also making great progress towards a sell! As I write this on March 22, 2023, TSLA LEAPS at $62.68 close to our sell price!
Literally 5 minutes after I wrote this, Claude, the investor who bought this based on my suggestion, sold his 1 contract for $6,500 for a $1,500 profit in 2 weeks or 30% profit in 2 weeks!!!
The advantage of lean AIM vs. regular AIM is that lean AIM takes much less money to start.
Heck, with $1,000 you can easily buy 2 or 3 LEAPS at prices very near or in the money. Buying close to the money or on the money gives a great chance to get a quick sale.
You will be doing the same thing you do with regular AIM – you will be compounding earlier profits into higher future profits!
You will grow your small starting nest egg into a big nest egg and eventually have enough money to do regular AIM.
Lean AIM is the best way for an investor with a small amount of cash to get started investing and offers the best hope of high profits quickly so you will make high enough profits to really affect your life for the better.
Even if you have lots of money, I encourage you to have a mixed portfolio of regular AIM and Lean AIM LEAPS in your portfolio! This will give you a more diversified portfolio and let you make money on the big boys like TSLA, AAPL, MSFT, and V if you can’t afford to buy at least 15 contracts and have enough cash to start with an equal amount of LEAPS and cash.
I always try to improve AIM for all my investors and this is one of the best improvements I ever came up with – use it to greatly expand your AIM investing!!!
P.S. My rates to help clients have been increasing because of the profits they are earning thanks to AIM (and my time is getting more demand). But for people who are looking for a more affordable way to start with AIM I'm offering a lean version of my rates too. Email or call me so we can talk about your investing goals and start using AIM.
You say there's not enough money for AIM investing? Introducing Lean AIM for people like you!
If you want to hear me explain Lean AIM, I recently made a video about Lean AIM too. Watch my YouTube video below:
Introducing Lean AIM: AIM Investing for investors who want to know how to invest with little money
DISCLAIMER:
Jeffrey Weber is not an investment adviser and gives only his personal view and opinion, never making any investment advice or recommendation to buy or sell specific securities. Investors in financial assets must do so at their own responsibility and with due caution as they involve a significant degree of risk. Before investing in financial assets, investors should do their own research and consult a professional investment adviser.
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