No. of Recommendations: 0
Most people have new cash coming in from somewhere, whether in the form of paychecks, pensions, Social Security, interest, dividends, and/or capital gains when you eventually sell a position. While the ideal might be to hold a stock indefinitely, in practice you do occasionally sell when a position becomes overvalued, your opinion on the company changes, you have a better place for the money, or you just need to raise cash.

The aim isn't to hold 12% cash at all times. When the market is expensive and it's harder to find places to put new money, your cash percentage will tend to go up naturally since new money doesn't get reinvested, and you might sell something that is overpriced. If the market goes down, your cash percentage might also go down as you find new opportunities and invest the cash you had built up.

I'd encourage you not to post your full name, address, email address, and phone number. None of that stuff is necessary when posting to a message board and might only get you in trouble if the wrong people get a hold of it.

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