Retail investor: I always take profits when I'm up 20-30%. Lock in the gains.


Me: On your best companies too?
Retail investor: Especially those. Don't want to get greedy.
Me: So you sell your WINNERS... the elite companies actually carrying your portfolio?
Retail investor: I mean, a gain isn't real till you sell, right?
Me: & then it triples after you're out, you pay taxes on the sale, & you're sitting in cash wondering what to buy next.
Retail investor: ...I've literally done that.
Me: I never sell my winners just to sell them... I often hold them for years & sell portfolio secured puts to pull income WITHOUT selling a single share.
Don't sell your best companies to "lock in gains"...
Trimming your winners is how you end up holding only losers.
Remember, trim the weeds & water the flowers.
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