02-04-2016, 10:34 AM
I my definitions of position are related to what percentage of the total portfolio's dividends does a particular stock contribute.
Full position: 4-6%
Overweight: 7-8%
Small: 3% or less
Alternatively, you make a goal for your full positions to contribute say $100 per year in dividends, overweight contribute $150, and small positions contribute $50. Once you hit this goal, reset them higher to say full:$200, overweight:$300, and small:$100.
Full position: 4-6%
Overweight: 7-8%
Small: 3% or less
Alternatively, you make a goal for your full positions to contribute say $100 per year in dividends, overweight contribute $150, and small positions contribute $50. Once you hit this goal, reset them higher to say full:$200, overweight:$300, and small:$100.