Exit Sign: When To Know When It’s Time To Sell

For most investors, buying shares is a lot easier than selling them. Knowing when to take profits (or losses), trim position size, or rebalance a portfolio are skills every investor should master. Even Warren Buffett of Berkshire Hathaway, a famous buy-and-hold investor (“Our holding period is forever.”) does it. In the early 1960s, he bought five per cent of American Express. The investment proved so successful that by the late 1960s, the company represented over 40% of his...