strong stock markets transform your original allocation of 60 percent stocks and 40 percent bonds to a mix of 70 percent stocks and 30 percent bonds, you may need to sell stocks and invest the proceeds in bonds. This is easily done in a tax-deferred retirement account, where portfolio adjustments entail no tax liability. For taxable accounts, however, a sale of securities today is all too likely to trigger adverse tax consequences. If your holdings are primarily in a taxable account, a wiser course of action would be to redirect future contributions to bonds and gradually restore your
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