Quote:
Originally Posted by Carolynp4
We use creative planning, Colby Winslow (he comes to our home) who is brilliant. I’ve used vanguard, (advisor), for several years, but after a situation where they made a recommendation that I totally disagreed with and I lost 25% of my portfolio. If I hadn’t followed the advice from Vanguard, I would have been fine. They intimidated me saying I was paying for their “expert advice “. So I followed their terrible advice.
Next month I’m meeting with Colby to discuss how to approach the end of Trumps tax cuts in 2026. He thinks outside the box.
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If a single recommendation lost you 25% of your portfolio, the position sizing was completely out of whack. My cost basis on any position cannot (by my rule) exceed 4% of my investable assets at the time of the trade. The only positions I hold that exceed this percentage do so because of growth and dividend reinvestments. Once the position exceeds 6%, I place a 10% trailing stop to eventually bring the position back in line and provide me dry powder for my next investment. Using this technique, in a very-worst-case scenario, any single position cannot hurt my overall portfolio by more than 4%.
Oh yeah. Fidelity all the way. Self-directed and their trading interface is miles ahead of Schwab’s, where part of my HSA funds are housed.