03-01-2021, 09:55 AM
(03-01-2021, 09:43 AM)ken-do-nim Wrote:Given you current tax situation, and the fact I have no idea what the short-term outlook for your stock/industry, I have rarely regretted averaging out of a stock. You'll then be forced to average back into your new DGI positions as well, rather than forcing it all in next January which traditionally follows a few above average market months. YMMV because it always seems too right?(02-28-2021, 11:32 AM)rayray Wrote: Can never go wrong with a diversified portfolio but certain companies i'd be fine with a higher then normal percentage--i would put that at around 20 to 25% of total portfolio--i average 8 to 10% range for company stock--i know people who have 100% in company stock and get 50 to 100k a year in dividends thrown at them--not bad if nothing happens--but not good if something does. Most likely our company not going anywhere but there's always a chance, right?
90% is a little much imho
Just to explain the 90%, when I got divorced, it was easiest for me to keep the company stock and give my ex the portfolio I'd built up for us. So back in early 2018 after we separated the money, I was 95% company stock, 5% what I had in my IRA (not counting the 401k). I wasn't able to start rebuilding another portfolio in 2018 or 2019, in part because I had to make regular payments to my ex for the value of the house, which I kept. So it wasn't until 2020 that I could finally start building another portfolio outside my company stock. So now the split is slightly better at 90% company stock, 5% new account, 5% IRA. Since the company stock just tumbled from 145 to 130 in the recent downturn, I will probably wait until later in the year to do this year's cash out.
