What to do with a shitty non-diversified portfolio?
I'm in %20 loss in a 30k portfolio of some individual stocks, some index and FTE, all in tech. Here are my losses: -%5 Amazon -%45 Nvidia -%29 Facebook -%16 VOO -%10 VGT -%15 VTI -%5 SKYY -%43 KWEB Thought about selling the whole thing a few days ago for stop loss, but didn't and lost more. I have had some other gains and if I sell my losses, can save on tax. What do you think is the best action now that we're officially in bear market?
I'm so sorry for you.
Sell the ones with least losses is the option you are missing and the only one that makes any sense. Or hold... But yeah good luck.
The price that you bought at doesn't affect whether or not it's a good idea to sell
Yeah but in this case don't you think all tech stocks are overvalued? You could go as far as saying most stocks are somewhat overvalued as other asset classes are now more attractive investments.
Google "gamblers fallacy" and "sunk cost fallacy". TLDR: don't decide on what happened in the past. Also "you didn't loose anything if you haven't sold" is bullshit. Do you want to invest long term? Get a good portfolio (ETF) and don't look at it for decades. You want to do short term? Go to a casino instead. At least there you know what the odds are.
Pretend you had the equivalent amount of cash. Would you buy the same stocks? If so, hold. If not, sell. People hold on to their lemons for too long.
If you don't need the money then don't sell it duh
What’s your goal with this investment, to retire in 35 years or to buy a house in 3 years? If you wanna just gain more wealth long term then don’t worry about short term swings unless you think a company is gonna go out of business. If you’re investing short term then you should have far fewer risky tech stocks and more diversification, bonds, mutual funds, etc.
Move to short term bonds till end of January or when the sell-off stops
You mean selling all the portfolio, buy short term bonds, and when sell off seemed to stop, buy back the stocks?
Also why not just selling and have cash instead of bond?
If you are considering selling at a low market point, it means you cannot stomach the risk. Buy low, sell high. Its low now, so buy more. On the other hand, index funds are more safe.
Buy high sell low usually doesn’t work out!