👀 (@MalSchauenWasWird) on getquin

5D·

After a long time, I'm writing a post again with a cup of coffee in my hand. With all the turbulent events of late, when I looked at my portfolio (especially my $AMZN (-0.91%) position) a basic question came up again. What is the maximum percentage of your portfolio that a position can make up that you still feel comfortable with?

Best wishes and have a nice weekend Klaus.

9 Comments

~ Michael 💎 🏅@Michael-official

For me, it depends on the company.
I am currently letting all positions run.

•

View all 3 further answers

Ronald@AlterMann

I have a savings plan for almost every position. This means that it always balances out a bit.
Of course, sometimes some positions rise far above average (this week, for example, $PLTR or $CXW ) but then it's a different value again...

•

DerBofrostmann@DerBofrostmann

I wouldn't give a blanket answer, but would differentiate between asset classes (equities, real estate, commodities, crypto).
Since you're talking about Amazon, I'm assuming equities.
I follow a satellite strategy and aim for 60% core all world with a relaxed tolerance of 50-75%.
Individual stocks (depending on the company) should account for at least 1, maximum 5%. Anything that falls outside this range will be reviewed. Subsequent purchase or sale below 1%, consideration of partial sale from 5%.
In addition, I expect 2-3% dividends from my satellites so that I don't have to actively reallocate as much, but prefer to rebalance by buying new shares.

Edit: Individual purchases from €1000 to a maximum of €2500 per tranche

•

Felix@Investor_in_Jogginghose

I am in the position with a happy problem. I have never rebalanced because I never wanted to penalize the good stocks. However, I am trying to restore the balance with additional purchases, so far without success.

•

Kate@Iwanowitsch

I asked myself a similar question today with the following background. I was in the process of comparing ETFs with each other and asked myself the question of equal weight or weighted by market capitalization. It quickly became clear that the ETFs based on market capitalization perform better than equal weight and I was not faced with the question of why I try to make all positions in my portfolio the same size and whether this makes sense and how it could be done differently? I don't have an answer yet, but I find it interesting that you are also asking yourself "this" question.

••

Show answer