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Real-Money Stock Picks / Messed-Up Expectations Portfolio


Subject:  Buying in Thirds Date:  5/21/2011  12:28 PM
Author:  bikerliz1 Number:  364 of 1287


I understand the theory about buying a stock in increments--it allows you to take advantage of a lower price without going over your target allocation of the stock in your portfolio. I have done the same, but have a real problem filling out my allocation if a stock goes up. I wait for the stock to go down, but sometimes it doesn't and it gets away from me. I can see that if I had made purchases even at an increased price I very often would still have made money on the stock, but I couldn't seem to make myself do it (sounds like a personal problem, I know).

I notice that in some cases you have purchased stocks for this portfolio that have increased in value from your original purchase.

Do you have a range-- + or - a particular percentage of your original price that you use as a guideline for additional purchases? Maybe considering time passed before you take a second bite? Or maybe you have a "Buy Below" price in mind when you make your purchases? How do you decide that an increased price is still doable?

Love your portfolio.

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