I know this has been asked many times before, but I cant seem to find it as a FR.
I want the ability to sell from my pie as a overall. For example i have £2000 in my pie, and I am up by £500. I want to skim say £250 of the profit and keep my money in the pie and the the percentage allocation.
I dont want to keep removing stocks from a pie and skimming the profit. How far are we off from doing this? Surely we’re able to reinvest and rebalance our pies, but having the ability to skim profit and keep it in the pie or have the ability to withdraw it seems lost.
why would you want to skim what are clearly profitable positions therefore reducing further potential of the pie’s profit growth? gambling that the prices will drop again later?
Not a bad idea to skim and take profits. It’s not something I do but why not take profits while you are in profit. Market is too high right now.
Both all very good points! It was just a situation I am thinking about eventually you will want to take some profit.
There is no easy way to take profit while keeping your pie in tact. What if in 10 years I was up 30,000k and I wanted to take 10k out for a deposit etc??!
In that situation rather than skimming I would think to take the bulk from the most overweight portions of the pie. Or by that time assess if you still want your pie to be the same and remove/cash out the slices you no longer want to hold, take enough for the deposit then reinvest the rest.
plus if one of your slices is weighted right but looks like its set to go up a great deal later, I wouldn’t want to take any funds from that portion until after the gains are realised.
you can withdraw 99% of a slice and not have to readjust the slice allocation so the pie is intact but funds are released. 10 years is just the example you gave, but that’s the perfect length of time to hold a pie with monitoring and then see how everything performed and reallocate to your new interests.