Dividends4Life: A Dividend Investor's Biggest Problem (DIV)

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My biggest problem as an investor is the never ending desire to tweak and alter my portfolio. Even as a dividend investor focused solely on achieving long-term investment performance, the desire to constantly adjust my portfolio is huge. In this article I talk about the problem and explain what I have done to combat it.

Overall, constant tweaking is bad because it does not allow your portfolio to do its work and generates fees an other friction costs associated with constant buying and selling. Emotions are typically at the route of this desire to tweak. My response to manage this desire is to understand that these emotions cause problems and to build an asset allocation that I am comfortable with and can live with for the long term.

Source: The Dividend Guy

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