When to sell

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2. What is your overall strategy?

The table below lists the main styles of investment. This course describes a selling strategy for each of them.

Naturally, there is no point in pursuing any active selling strategy if your returns are unlikely to beat those of passive investors after payment of all commissions and taxes. It is therefore best to adopt such strategies only

• if you use the services of a low-cost, execution-only broker
• if your profits are likely to total less than your annual capital gains tax allowance, OR
• if you deal within a tax-sheltered portfolio, e.g. an ISA or self-invested pension plan.

1. When should you sell? 2. What is your overall strategy? 3. Selling for passive investors 4. When to take profits as a value investor 5. When to take losses as a value investor 6. Selling for growth investors 7. Mechanical formulas for selling 8. Selling in order to reinvest 9. Stoplosses 10. The argument over stoplosses 11. Limitations of stoplosses 12. Profit warnings 13. Selling for traders 14. William O'Neil's trading system 15. The most important rule of all 16. Emotional problems 17. Conclusion

• Beyond the Zulu Principle