| | | Hoatzin wrote (couldn’t get the quote box to cooperate):
I'm a great advocate of "don't just do something, sit there" when it comes to investing, and strongly feel this is one of an individual investor's greatest advantages over the pro's: make a small number of quality decisions, and then just leave well enough alone. More activity, more decisions, more trading, will generally lead to some poor decisions along the way.
———-
I couldn’t agree more with this sentiment. The advantage individual investors have is the advantage of time, not having to do annual reports, etc. Anyone who says individuals cannot beat “the experts” is simply mistaken, IMHO. To be clear, my personal goal is income-related only. Nevertheless, over the past approximately seven years of DGI, my portfolio has beaten the S&P on a total return basis (with less than 80% of the Beta risk), though I don’t particularly care as long as the income stream grows healthily.
When I see your holdings, I am a bit surprised that, though I have fewer than half as many holdings as you, we only share five stocks. There are many ways to go, aren’t there?
One last point. As I have mentioned a number of times, almost all of my portfolio is taxable. That taxability is a nuisance, but it has helped save me from so many errors: E.g., selling LMT when it doubled, or tripled, or quadrupled. It increases my concentration, but I hold and celebrate my winners, unless I perceive a fundamental flaw. Hence, my only “for cause” sale, KHC. Many ways to go—and I don’t even hold PG. :-)) |
|
