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Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?

To: Gib Bogle who wrote (297989)	1/22/2023 8:32:48 PM
From: ralfph	Respond to of 312498

if you own a stock long enough you get a sense of when to unload a few and when to buy back in.

To: Gib Bogle who wrote (297989)	1/22/2023 8:47:09 PM
From: Pianoman1997	1 Recommendation Recommended By ralfph Read Replies (1) \| Respond to of 312498

But you were right. IMHO, this rule of thumb applies to a well diversified and balanced portfolio. Selling all or going all-in is probably not very smart and one needs to only re-balance once or twice per year. I do see exceptions in special situations. Ex the crashes of 2009 and 2020. After the debacle, it made sense go heavy in the market...just any market really!

To: Gib Bogle who wrote (297989)	1/23/2023 11:19:06 AM
From: FIFO_kid2	2 Recommendations Recommended By kidl ralfph Respond to of 312498

With regards to timing for me it is important to classify the business being cyclical or secular, a high ROIC business, and if the management really cares about shareholders. In a secular business however, I will certainly attempt to recover my cost in the stock first then let it ride. If the business has secular growth, a high ROIC business and if management cares about shareholders then it is obvious to just permanently hold onto the shares like Warren Buffett. It is also easy to say this and sometimes hard to fully implement if you aren't a endless money pit like Buffett. Some winners I have done this others I seriously failed Lastly, some businesses are hard to classify. Who would have guessed NVR a home builder in a cyclical business would end up 1000 times over a 30 year period? A stellar management is so important working for you vs themselves as cutting the float from 17 to 3.5 million shares over that time period was the main driver.