5 Stocks to Sell or Avoid in 2020
Sometimes, it pays to fold 'em.
While many investors gear up for the new year by scouting out lists of the best stocks to buy, there's virtue in pruning, too. Even though it seems counterintuitive to sell into a rip-snorting bull market, you should parcel out time to evaluate your portfolio for stocks to sell as we enter 2020.
Why? Three reasons:
- Too far, too fast. Let's say you own a stock that has soared far above the market. The position that once was 10% of your portfolio is now 35%. That's a lot to have riding on one stock. You don't have to sell your entire holding, but it might be a good idea to trim it back a bit. In fact, you can tie such a move into charitable giving and dodge that pesky capital-gains tax.
- Slowdown ahead. Even if your stock has) and GameStop () - weren't able to keep the earnings momentum going. If it looks like your stock's growth might be slowing, you should think about where that money could be working a bit harder. Even great buys become stocks to sell at some point.
