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It’s time to sell…or… is it? Here’s a question that keeps every investor awake at night. When do you actually TAKE PROFITS? Because let’s be honest, everyone LOVES talking about what to buy… but almost NO ONE talks about when to sell. Yet it is one of the most important things investors and stock pickers need to do, decide when it is time to take some money off the table …so in this article that’s what I’m going to discuss.
Back at the start of 2025, I did the foolish thing every investor tries to do… I predicted the future, click here to read that post/watch that video.  I said in the first half of 2025 we would likely get a 10-15% pullback, and that pullback would most likely be a buying opportunity and the year would still finish up 10% around 6500.  We now have the market at all times highs of 6800 and optimism is at quite high levels, maybe too high?  The VIX, the market’s fear gauge, currently relatively  low at 16 and many growth stocks 50% or more higher than the tariff shock lows from April.  Meaning things are looking pretty juicy, and somehow I was right!  As they say, even a blind squirrel can find a nut every now and then 😉
Which brings us right back to the question, if everything looks amazing… is that EXACTLY when we should worry?
Let me tell you what I did.  Back in April, during the tariff shock chaos, I said I was buying.  Click here to read that post/watch that video.  I would continue to do so if the market pulled back further.  My two top stocks AMZN and GOOGL and other names BABA, NVO, NVDA, TSLA, BYD.  Fast forward six months and those stocks look like they’ve had a triple espresso! Now feel free to pause the screen to look closely at performance of those stocks from that post/video 4th of April.  You can see total returns look great to today although it is important to reference returns against a benchmark like the S&P500.  So now you can see the actual outperformance relative to the market is less amazing but still extremely good in many of these stocks.
So, today, 7th Oct 2025, what now? Sell everything and hide under a mattress? No. We are indeed at market highs, with some very good returns gained for 2025. So over the past few weeks, I have taken some profits off the table, the majority of that additional capital I put to work back in April. As I consider these moves somewhat excessive and we are probably 6-12 months ahead of where we should be in most of these names. And when markets get too happy… that’s usually your cue to get a little cautious.
But wait… does that mean you should sell too?  Well, not necessarily.  Because your goals and most importantly, your timeframe, are probably different to mine.  As I have said before, if you are investing for the long term, there’s an easier, lower-stress way to play this game.  Follow the method I largely recommend for most, dollar-cost averaging. It’s not flashy.  It’s not exciting.  But it works.  You buy regularly.  Through the ups.  Through the downs.  And you let the magic of compounding do its thing.  Simple.  Boring.  Effective.  Click here to read that post/watch that video highlighting the power of compounding!  And… if you want to add a little extra sprinkle of risk to hopefully enhance your long-term returns then add double or triple your usual regular investment after any 10%, and especially 20% or more, market pullbacks.  As it’s like your favourite stocks are suddenly on sale!
So in summary… is it time to sell? Maybe. Maybe not. But the real answer is this: the best investors don’t just know when to buy… they also know when to pause. And as the famous market quote goes you can’t go broke taking a profit. And right now, I’m still long-term optimistic, just less long than I was six months ago. As 30% of alpha (above market) returns in 6 months is a reasonable amount to consider locking some profit in. So whatever you do, stay calm. Stay curious. And remember, you can’t control the market. But you can control your behaviour. I wish you all well on your investing journey.
Thanks for reading to the end!  If you like this kind of information… then please consider bookmarking my website and subscribing to my YouTube channel as new posts and videos to come each week!
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