5-00 Chapter 5: Now That I Own It, What Should I Do?
By now, you should have started building your first portfolio – hopefully you were able to use a combination of “Buying what you know” and a stock screener to build a portfolio that you believe is in line with your larger investing goals.
Now what?
If this is your first time investing, you are probably starting to obsessively check your portfolio, and tally up ever dollar made or lost. It can be nerve-wracking, and you’re never sure if you bought the right stock, if there is a better opportunity waiting somewhere else, or if you’re about to hit the jackpot.
Before we get into Chapters 6 and 7, focusing on fundamental and technical analysis, we want to talk about the nuts and bolts of managing your portfolio – how to look at your holdings, when it is time to act, and when it is smarter to calm down and ride it out.
In other words, this chapter answers the question “Now that I own it, what should I do?” Remember – everything in this course is focused on making you into a savvy long-term investor. If you are constantly checking your portfolio and are tempted to start buying and selling, you aren’t there yet.
The next several lessons will focus on holding and selling strategies for the stock you already own, so you can trade confidently and not second-guess your decisions.