I am semi retiring next month at the age of 40Brewer,Congratulations on your successful accomplishment at such an early age.It makes sense to take larger risks and swing for the fences when one has limited capital and time (age) on your side to recover from any setbacks. But now that you have accomplished your semi-retirement goal, there is very little benefit to a concentrated portfolio.I've always found that large positions have created tax problems for me. Many of my core equity holdings are held in taxable accounts (because of the preferential dividend taxation policy), so I view capital gains as something I must try to manage. Sometimes, like in the case of takeovers or going private, I’m given NO choice and I’m forced to cash out and pay the taxman. So I try and hang on to my winners in taxable accounts. I assume a chunk of your NM gains were tax deferred.Surprisingly, since I began practicing diversification, my results have improved considerably. Many stocks that start out as low PE income stocks, turn out to be big winners over the years. I now have the patience of waiting years for management to grow the company. Howard
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