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Based on many Fool and my own questions regarding rotation and big winners (should I cash out now, since one of my FF is at 50% gains?), I've done some math. I've found that a portfolio only requires an additional 5% gain (from a 25% FF gain to a 30% gain) to make up for a 12% tax hit between short-term (40%) VS. long-term (28%) capital gains. From this I've concluded that, to keep it simple and manage the entire FF portfolio as a whole instead of individual winners and losers, if the ENTIRE FF portfolio goes beyond 30%, one should indeed consider selling prior to a year and a day in order to capitalize on more frequent compounding, while at the same time not compromising gains to short-term taxes. This thinking is based primarily on maintaining the 25% annual return typical of a FF portfolio. How does this sound?

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