Why ten percent rise or fall to sell or buy?

This question was posed by A. A. PhD., Columbia U. Professor Emeritus

Question:

How did you choose the 10% rise or drop rather than some other percentage in order to keep your asset allocation balanced?

Monday Morning Millionaire Program Answer:

The choice is arbitrary. It seemed convenient and it has a good track record. Probably, anywhere from 5% to 15% would work just as well.

Asset allocation, the importance of which is underestimated by many investors, is critical for good long term investment performance. Take a look at the details.

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Dr. Milan Somborac

The Monday Morning Millionaire Program supports do-it-yourself (DIY) investors which I have been for over 50 years. About my team and me