Ditto to the above. A "full" position for me is 3%. I try to buy in full positions and then just ride the pony. If cash flow is a problem, or I'm uncertain if a "dip" has done all it's "dipping", I'll by a 1/2 (which can backfire, as in the case of DE). I only buy 1/2 positions in BDC's or other more risky income investments. For example, I have a full position in KO, AAPL and SE and 1/2 positions in HTGC,INTC and VNR .
I bought a full position in Microsoft years agos at $34.33 a share, and I'm very happy about that now. I also bought a full positions in IBM at $180.25, and that's not looking so well now. However, the purpose of each purchase was income, and in that capacity, they are both still paying uninterrupted dividends. Much of my holdings are in taxable accounts, so frankly I don't re-balance.
I think for someone not at the financial point to allocate large sums of capitol from their monthly paycheck into long term investments, its really more a matter of capitol available vs deals available. Therefore, building a diversifies portfolio at a fair price should be the focus.
Not that you asked my advice, but there is is ;-)
Ronn
I bought a full position in Microsoft years agos at $34.33 a share, and I'm very happy about that now. I also bought a full positions in IBM at $180.25, and that's not looking so well now. However, the purpose of each purchase was income, and in that capacity, they are both still paying uninterrupted dividends. Much of my holdings are in taxable accounts, so frankly I don't re-balance.
I think for someone not at the financial point to allocate large sums of capitol from their monthly paycheck into long term investments, its really more a matter of capitol available vs deals available. Therefore, building a diversifies portfolio at a fair price should be the focus.
Not that you asked my advice, but there is is ;-)
Ronn