Rebalance your portfolio periodically to maintain your desired asset allocation from "summary" of The Coffeehouse Investor by Bill Schultheis
Every so often, you will need to reconsider your investments and determine whether they still align with your goals. This process involves evaluating your portfolio and making adjustments to ensure that it matches your desired asset allocation. By rebalancing your investments periodically, you can bring your portfolio back in line with your intended mix of assets. This means selling assets that have grown significantly in value and purchasing assets that may have underperformed. Rebalancing is important because it helps you manage risk and main...
Similar Posts
Utilize taxadvantaged accounts for additional savings
When it comes to saving for retirement, tax-advantaged accounts can be a powerful tool in your arsenal. These accounts allow yo...
Peerto-peer lending can be a lucrative way to generate passive income
Peer-to-peer lending is a modern twist on the age-old concept of lending money to others in exchange for interest payments. Pla...
Understand the power of compounding interest
Understanding the power of compounding interest is crucial if you want to build wealth over time. Compounding interest is like ...
Utilize both fundamental and technical analysis in your investment strategy
To achieve success in the stock market, it is essential to have a well-rounded investment strategy that incorporates both funda...
Seeking opportunities for passive income can lead to financial freedom
One key concept that can pave the way to financial freedom is the idea of seeking opportunities for passive income. Passive inc...
Make consistent contributions to your investments
Consistency is the key to building wealth through investing. By making regular contributions to your investments, you are harne...
Take calculated risks based on thorough research
One of the key principles when it comes to seizing investment opportunities is to carefully evaluate the risks involved before ...
Focus on companies with strong cash flow
When it comes to investing in stocks, it's important to pay attention to certain key factors that can indicate a company's fina...
Costs of investing can diminish returns
The costs of investing are a critical consideration for investors, as they have a direct impact on the returns they can expect ...
Avoid chasing hot trends
Trying to time the market and chase after the latest hot trends is a fool's errand. It is incredibly difficult to consistently ...