Limit5Bass Portfolio Breakdown
Let’s discuss how I allocateWhen I talk about my portfolio holdings, I am referring in total to the 2 different accounts that make up my entire stock holdings. My total portfolio holdings consists of a taxable account and a tax deferred account (an IRA).
I don’t have a pension from any job I’ve worked at (go figure, accounting firms have horrible benefits). With no pension to speak of, it is up to me and me alone to look out for my retirement.
Sometimes I have similar holdings in each of the 2 accounts, sometimes only 1 of the 2 accounts has a particular holding. That may depend part on my holding-term strategy.
For investments that I intend to keep on a shorter-term basis, I typically trade shares in and out of my IRA account to prevent any tax consequences from the shorter-term nature of the holdings. Being self-employed, I need to try to lessen my tax burden each year. Having a good tax strategy is also part of investing. With every sale in a taxable trading account has tax consequences of some degree, both positive and negative. Talk to your accountant about your particular tax situation.
With that being said, I am at least 10-15 years from even sniffing retirement at this point, so I have plenty of time to invest in some of the smaller cap, riskier stocks that I like to trade in.
A breakdown of my current portfolio holdings can be found on the TSC Members Area webpage. The breakdown I illustrate is a combination of both my accounts, my taxable account and my IRA account.
