As a long term investor, it is important to revisit and perform a portfolio retrospection from time to time. Normally investors tend to do this at the end of the year, but as long as you do it regularly (without overmonitoring/obsessing over it), its all good. Our needs, risk/reward profile etc change constantly as we mature and gain more experience as investors. What was once believed and held true can change in a matter of days or weeks. When the markets are going up and everyone is making money, it is easy to lose track and keep emotions in check. Or worse, apathy creeps in. But during market crashes, corrections and bear markets we realize that we should’ve been more careful and regret with some of our decisions.
August saw some increased volatility in the stock market and the S&P 500 index dropped 10%. While this kind of correction from time to time is healthy for the overall market, it is important to be self-aware and reflect on the emotions/experiences. Year-to-date, the market is still trading pretty flat with the S&P 500 down just 2%.