Michael Southard
United Kingdom
๐–๐ก๐ž๐ง ๐’๐ก๐จ๐ฎ๐ฅ๐ ๐˜๐จ๐ฎ '๐“๐š๐ค๐ž ๐๐ซ๐จ๐Ÿ๐ข๐ญ๐ฌ'? A mistake many investors make when they are starting out is that they close a position when they have made a certain return. Maybe they are up 100% or 150% or even 300% and are tempted to 'take some profits'. But here's the thing - ๐ญ๐ก๐ž ๐ฉ๐ซ๐ข๐œ๐ž ๐ฒ๐จ๐ฎ ๐ฉ๐š๐ข๐ ๐ข๐ฌ ๐ข๐ซ๐ซ๐ž๐ฅ๐ž๐ฏ๐š๐ง๐ญ. If you bought gold at $1,000 and it's now at $4,000, should you sell? Well if you only bought a very small amount, and you believe it is going much higher, and your current position reflects a sensible proportion of the portfolio, then why would you sell - even if you are sitting on a 300% gain? You should probably just hold. We have positions in this portfolio which we are up hundreds of percent. Are we selling them? Not necessarily. The only thing that matters is the % allocation that position has in your portfolio and whether you believe it to be suitable at the current time. If an asset you like drops in price, you should buy more. If you make a large allocation to an asset and it appreciates a lot very fast, maybe you rebalance. But the same principle applies: ๐“๐ก๐ž ๐ฉ๐ซ๐ข๐œ๐ž ๐ฒ๐จ๐ฎ ๐ฉ๐š๐ข๐ ๐ข๐ฌ ๐ข๐ซ๐ซ๐ž๐ฅ๐ž๐ฏ๐š๐ง๐ญ. Hope this is helpful. Michael $CIFR (Cipher Mining Inc) $RGTI (Rigetti Computing Inc) $GOLD
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