POSTED BY May 13, 2013 6:25 pm COMMENTS (5)ON
This question is related to wealth creation. I often hear that we should keep churning our portfolio for profit booking and then reinvested the whole into more profitable funds. Does it mean that if say my expected retunrs from the funds is 10% and if that is achieved then I should redeem it, then again invest in the same funds after it goes down or invest in some other profitable funds? Is it a relastic scenario and achiveable? Beacause i think without these wealth creation is not possible?
i would also like to share my experience in share trading.. just for learning purpose I invested few thousands into shared some a year ago.. just few days ago i remebered (!) that I had invested into some shares and I went to checkout their performance and I found all were in red. but when I check the performance of the stocks (3 in numbers) for over past one year I found that it did went to my desired percentage of return quite a few times in that one year but I didnt took that chance to redeem it. Thats when I realized that I should not invest and forget but monitor it until my desired returns are achieved.