Rule Driven Sell Disciplines
One of the most important investment decisions is when to sell an existing holding. Many investors use mechanical rules to facilitate this decision. For example, an investor who buys stocks with low price/book multiples may sell whenever the price/book reaches a certain level.
Other examples include up-from-purchase/down from purchase rules (sell whenever the stock increases/decreases by a predetermined amount) or by pre-established target prices.
For more information, see all articles on: Asset Allocation, Investing in Stocks, Investment Returns, Portfolio Management See also:
The Intelligent Investor: The Classic Text on Value Investing
Financial Statement Analysis: A Practitioner's Guide, 3rd Edition
Managing Investment Portfolios: A Dynamic Process (CFA Institute Investment Series)
