This is why we diversify

I’ve seen a lot of posts panicking about AI, tech, and Nvidia’s drop. My portfolio has some tech, including NVDA, but I’m only down 3%. Not something I’d worry about for a single day.

I’ll keep an eye on the market over the next few weeks to see if there’s a longer trend, but since I’m not 100% in tech, I’m not having a meltdown watching everything turn red. Diversification works.

I get that, but when a stock grows so much that it jumps from 5% of your portfolio to 20%, it’s hard to rebalance if you still believe in the company. Selling something you think will keep growing is tough.

@Zephyr
That’s why you need solid reasons for holding long term. If you don’t, just take your profit and spread it around.

Eli said:
@Zephyr
That’s why you need solid reasons for holding long term. If you don’t, just take your profit and spread it around.

If you believe in NVDA long term, today should’ve been a no-brainer: either buy the dip or ignore it and move on.

Every time there’s a panic sell-off like this, you can spot who’s investing versus those playing pretend day trader and freaking out.

@Hutton
What does BTFO mean?

Also, yeah, I shrugged and then bought more shares.

Eli said:
@Hutton
What does BTFO mean?

Also, yeah, I shrugged and then bought more shares.

Haha, it means ‘Blown The F*** Out.’ Sorry, didn’t think about how niche that term is.

@Hutton
I bought the dip, but then I saw the news about Trump’s 100% tariffs on chips made in Taiwan. Makes me wonder if I should’ve waited.

Vail said:
@Hutton
I bought the dip, but then I saw the news about Trump’s 100% tariffs on chips made in Taiwan. Makes me wonder if I should’ve waited.

Remember the Colombia tariffs he announced? Those disappeared the next day.

Eli said:
@Zephyr
That’s why you need solid reasons for holding long term. If you don’t, just take your profit and spread it around.

People get emotionally attached. They think, ‘What if it goes higher?’ or worry about taxes. It’s why single stocks are often a losing game.

Eli said:
@Zephyr
That’s why you need solid reasons for holding long term. If you don’t, just take your profit and spread it around.

Set your buy, hold, and sell limits ahead of time. It doesn’t have to be all or nothing. I sold a chunk of NVDA when it hit a 300% return, but I still kept some for the long term.

Laughs in index ETFs

Bay said:
Laughs in index ETFs

Same here. Down 1.2% today. Moving on.

Bay said:
Laughs in index ETFs

This post was made by the VOO and QQQ gang.

I’ve learned my lesson. I should’ve taken some gains earlier, but I wouldn’t still be up 1000% on NVDA if I’d diversified sooner.

Vance said:
I’ve learned my lesson. I should’ve taken some gains earlier, but I wouldn’t still be up 1000% on NVDA if I’d diversified sooner.

That’s a nice problem to have!

A 3% drop hurts more now because my account is bigger than last year, so 3% is a larger number. Still, I’m not worried.

Cassian said:
A 3% drop hurts more now because my account is bigger than last year, so 3% is a larger number. Still, I’m not worried.

Exactly. That’s why I focus on the percentage, not the dollar amount.

I increased my position today. Bad news is discount day for me.

Florian said:
I increased my position today. Bad news is discount day for me.

I did the same with Enron. :wink:

Harlem said:

Florian said:
I increased my position today. Bad news is discount day for me.

I did the same with Enron. :wink:

I loaded up on Meta in late 2022. Best decision I’ve ever made.