It’s November and nearly the end of the year.  Many investment advisors, personal finance advisors suggest looking at your portfolio at the end of the year and reevaluating your diversification and investment strategy.  December is a great time to harvest gains and take some losses as well.  But honestly the weeks between Thanksgiving and New Years are just HECTIC!

That being said, November is probably close enough to reevaluate  portfolio and investment strategy.

My biggest problem is being attached to my investments.  I am definitely someone who thinks, maybe I should hang on until it comes back up.  My DH is the opposite, and has always preached, cutting your losses.

If a stock/mutual fund is down, would you buy more?  Or if given a chance to invest now you wouldn’t because you don’t think it’s a good investment.  He feels if it’s not a good investment, then cut your losses and buy something else.   Something else you think or feel has a shot of going up with upside potential.

I guess that’s the problem for many people.  Getting emotionally invested in your stocks or mutual funds.  Trying to always “make” money instead of evaluating the stock/MF at that moment in time and deciding if it’s worth keeping.

But this year we started harvesting losses in our taxable account and gains to offset them.  My DH had to push me to accept our losses and realize that the money was gone so we should buy things we felt were going to make us money, not “lose” money or stay the same.

I guess that’s the tricky part of investing, learning “how to invest“, and following the strategy logically instead of emotionally.