• Deteriorating Quadrix® scores.

• A surprise that suggests our rationale for buying a stock is no longer valid.

• Constant competition among stocks to be among our best ideas. The idea that “good is not good enough.” If a stock is no longer among our 35-45 best ideas, we sell.

• Taxes — we do not let taxes drive investment decisions. However, we do examine holding periods (short term versus long term) when selling a stock from an account. Also, we do look for opportunities for “tax harvesting” in tax-sensitive accounts.

Risk Control