What if the biggest mistake in your portfolio is not what you bought, but what you refuse to sell?
Investors often book profits in stocks that have done well, while holding on to those that have fallen 40%, 50% or even 70% — hoping they will eventually return to their purchase price.
But the market has no interest in the price at which you bought a stock.
A better question is simple: If you had cash today, would you buy this stock at today’s price?
In her Mint column, Devina Mehra looks at the behavioural biases that can turn portfolios into a graveyard of forgotten stocks — and why investors need to be ruthless about what deserves to stay.
Read the full column: https://www.firstglobalsec.com/fg-in-the-press#947
Article titled, “Are you treating equities in your portfolio like you do your exes?”
