[This is a backlog for a previous trading transaction. It may not fully represent my thinking at the time of the trading.]
I sold my remaining 30 shares of MSFT in my Datek account for $28.50 each. I believe it's time to sell these memories of my early investment experience for several reasons:
- It's only around $850 value now; I don't want to watch its minute change in
every trading session.
- I have enough exposure in MSFT now from my stock options and ESPP programs.
- Now I'm being taxed as a resident alient, I can sell losing positions for tax benefit.
- If I want to exploit price inefficiencies in MSFT, I can purchase in MSFT in my 401(k) plan with certain tax advantage. Also, I really have trouble allocating my capitals in 401(k) due to limited choice of funds.
- $28.50 is already a high price. Will MSFT sustain its 20+ P/E ratio?