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My Personal Finance Journey

Personal finance observation, musing and decisions in a journey toward financial independence by 36 with at least $1 million.

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TRADE #18 - Sell MSFT 30s @ $28.50 in Datek (Backlog for November 4, 2002)



[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?

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