Stress Free Investing without Watching Stock

Managing your stock investments doesn't have to be a daily pain. Rebalance once a year for stress-free investing. Making money on your investments can be intoxicating.

We've covered reasons to start investing and creating a step-by-step investing strategy, but how do you maintain your investment portfolio once you have set it up?

Stress-Free Investing and Stock Rebalancing

Think of your investment account more like a savings account. Put money in every month. At the end of every three or six months, use the money you've accumulated to buy more shares of the stocks.

This will decrease the number of times you buy stocks and the fees you pay. Every year, check the value of your stocks and the value of your total investment by sector and asset class. 

I'm a buy-and-hold investor, but there may be rare occasions when you should sell a stock in your portfolio. The reasons are probably fewer than you think, and whether the stock fits your overall portfolio strategy.

Stress-Free Investing and When to Sell your Stocks

1. Has the company become much riskier because of new technology or new competitors? 2. Has management decided not to support shareholders' dividends or other cash returns?

3. Has management made unethical decisions you are uncomfortable supporting as a shareholder? 4. Have the shares done so incredibly well that they are too large a portion of your portfolio?

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