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After Selling, Your Work Is Only Half Done

By Christian Hill

With the recent turmoil in the markets, chances are you liquidated some of your holdings. Whether it was because they hit your pre-determined stop-loss point or you simply threw in the towel because you’d had enough, you still have some work to do.

Did you re-examine your portfolio mix after you sold those stocks? Most likely you didn’t, so do it now.

Selling at a loss is often an emotional and stressful experience. As a result, you aren’t necessarily focusing on what remains in your portfolio, and you could quickly become overweight in one stock or sector.

After any selling, take the time to make sure you have the mix you want. It may mean selling some additional holdings to bring everything back in line, but it is best to take care of that now, rather than get caught down the road.

[Ed. Note: Protecting your wealth is about more than getting in and out of the market at the right time. It means keeping your portfolio balanced.

Keep your money safe during these shaky times by making smart investment choices. Companies with strong fundamentals are best equipped to withstand major market changes. But don't be afraid of fluctuations in the market. These movements can offer you the perfect opportunity to profit .]

 

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