I am 58 and DW is 52 1/2. We have about 1/3 of our portfolio in single stocks. Too high, I know. Some are acquired thru ESPP; some were simply bought over the years. We are not retired yet. Most of these holdings have long term capital gain, so we certainly want to hold on until our tax rate drops to below 15% before we sell. We hope to ER soon.
2 stocks are in 220K area each
2 stocks are in 120K area each
few in 20K area each
Therein lies the dilemma. How do you hold on to the gains before the next dip (or crash)?
Over the years, I tried some hedge strategies: buying puts, selling covered calls, creating collar positions. All seem to be losing strategies.
Holding on without protection and leaving me naked down below, seems to be risky also.
So, what do you do to hedge your single stocks positions?
2 stocks are in 220K area each
2 stocks are in 120K area each
few in 20K area each
Therein lies the dilemma. How do you hold on to the gains before the next dip (or crash)?
Over the years, I tried some hedge strategies: buying puts, selling covered calls, creating collar positions. All seem to be losing strategies.
Holding on without protection and leaving me naked down below, seems to be risky also.
So, what do you do to hedge your single stocks positions?
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