Comments on: 5 Tips For Picking and Investing in Stocks for Smart Investors

By: Laurie Pawlik-Kienlen

Laurie Pawlik-Kienlen — Sat, 25 Jun 2011 16:21:07 +0000

Thanks for your comments — and I hope you’re picking and investing in the right stocks!

By: Praveen Puri

Praveen Puri — Thu, 11 Jun 2009 19:48:31 +0000

I re-balance each of my stock positions once a year and it works out very well.

Stocks go through phases – so for a while, it might have been optimal to re-balance stock ABC monthly, while (for example the late 1990′s bull market) it might have been best to rebalance ABC after 5 years.

This usually can only be determined with hindsight. Since we have to trade/invest in real-time, my testing has shown that yearly is the best trade-off.

By: Bruce

Bruce — Thu, 11 Jun 2009 15:42:10 +0000

All very good advice. Thanks. How often should one reallocate funds, once a year or is that too often?

By: Laurie PK

Laurie PK — Thu, 11 Jun 2009 13:25:54 +0000

Successfully investing in stocks isn’t about finding the “gold mines” (Microsoft, Google, etc), like Puri says — but asset allocation or systematically buying when low and selling high is easier said than done!

Maybe my next set of questions for Praveen Puri will be about recognizing when it’s time to sell. There must be some signs that it indicate that it’s a good time to sell your stock, and reinvest in something else. The more you buy and sell your stocks, the better you’ll get at recognizing the right timing. (Right?)

Thanks for your comment, Rajesh. It’s good to hear such a strong endorsement of Praveen!

By: Rajesh Kumawat

Rajesh Kumawat — Thu, 11 Jun 2009 08:42:17 +0000

I have known Mr. Puri for quite some time now. I have bought and read his book and have been very impressed at his investment philosophy. It is important to get rich trading, but it more important to not loose your ground and be flexible in your investment strategies as markets change. Strongly recommend Mr. Puri’s books to investors out there looking for a proven, tested and simple nvestment tools in troubled times.