12-11-2021, 07:50 AM
(This post was last modified: 12-11-2021, 07:57 AM by ken-do-nim.)
This also gets back to the position sizes discussion. I came up with this a while back for my port:
$1 - $500 watch position
$501 - $1000 starter position
$1001 - $2499 junior position
$2500 - $4999 moderate position
$5000 - $7499 full position
$7500 - $9999 large position
$10000 - $19999 major position
$20000+ principal position
(Obviously if your port's overall size is much higher than mine, adjust the numbers accordingly)
It's not just about the flat number of stocks you own, I think it's about how many are at each tier. The higher the tier, the more you have to know about their financial health. For instance, I have 33 stocks, but out of that, 12 are at Junior or less, and another 8 are Moderate. So only 13 are larger investments.
$1 - $500 watch position
$501 - $1000 starter position
$1001 - $2499 junior position
$2500 - $4999 moderate position
$5000 - $7499 full position
$7500 - $9999 large position
$10000 - $19999 major position
$20000+ principal position
(Obviously if your port's overall size is much higher than mine, adjust the numbers accordingly)
It's not just about the flat number of stocks you own, I think it's about how many are at each tier. The higher the tier, the more you have to know about their financial health. For instance, I have 33 stocks, but out of that, 12 are at Junior or less, and another 8 are Moderate. So only 13 are larger investments.