Highly Concentrated Positions
B. Riley Wealth Management can help you manage a large position of publicly traded stock in your portfolio. Concentrated positions may be accumulated in a number of ways:
As a general rule for a well-diversified equity portfolio, no more than 10% of the portfolio value should be held in one security and no more than 30% in any one sector.
Strategies for Managing Concentrated Positions
- Gradually selling and repositioning
- Option-based alternatives
- Estate planning and charitable techniques
- Borrowing against your stock
- Other strategies
The suitability of each alternative depends upon your individual circumstances, and some alternatives may be inappropriate for your situation. Working alongside your tax and legal advisors, I can help you evaluate these strategies.