Profit booking Strategies | When to book PROFITS in the market | Trim PORTFOLIO or Sell a STOCK

Описание: Want to learn about excellent Profit booking strategies. Then watch this interesting video on when to book profits in the market. The rules for exiting stocks can be divided into 2 parts- trim the entire portfolio or exit a particular stock.

It should be emphasized that many great stock pickers have achieved below par returns because of their propensity to sell stocks indiscriminately in the market

We need to trim the entire portfolio when we don’t have any particular reason to sell any stock but feel that the market is overvalued or we want to rebalance our portfolio as the equity market has done well.
This can be for 2 reasons- either the market is overvalued or we need to book profits to achieve our life goals.

Profit booking Strategies for individual stocks depends on the category of stocks. So broadly there are 2 types of stocks an investor can pick
the 1st type is a reasonable business which is available at cheap prices
examples of such businesses could be stocks like coal India. The 2nd type of stock are long term compounders . We explain when to completely exit a stock and when to use profit booking strategies whether it is to partially book profits in the market or to let them run.

Key Moments
00:01 Introduction to Buy & Sell Decisions
00:29 Selling Stock Introduction
01:06 2 Ways of Exiting a Stock
01:16 Trim Portfolio
02:53 Sell a Particular Stock
05:06 Circle of Competence & Exiting Stocks