Survey:
SEBL 7%
NTAP 6%
BRCD 6%
GMST 5%
QCOM 2%
JDSU 2%
CREE 2%
AOL 2%
AMT 2%
WIND <1%
SNDK <1%
Cash about 64% (includes Van Wagoner and Janus Tech and Bio funds, with 35% in non-tech equity funds and some securities from a former employer)
Biggest Mistake: only partially rebalancing at the end of the March quarter. I try to do a modest rebalance quarterly in IRA, 401(k), and taxables.
Since 1980, I've kept a balance of 70% equities and 30% cash, home, and fixed income. The 70% equities have been divided into about 30% tech and 40% non-tech, but I'm not rigid on the mix, which has run to 40/30.
About half the total equity position is LTB&H (average duration 3 years), the other half is trading, on which I write calls if enthusiasm is excessive, or puts if the end of the world is at hand. No individual stock can be more than 8% of investable assets (which sold me out of some BRCD and NTAP) and I have sell triggers under some stocks when they drop to about 3x my purchase price (which sold my GMST trading two weeks ago, about 1/3 of my GMST position).
I may consider letting the equity run to 75/25, and may consider letting the max run to 9%, perhaps with "house money" only.
Although I have volatile stocks in the accounts, I ran the portfolio through riskmetrics.com and determined the beta is about 0.8.
GSR |
