Calculate the value of your portfolio and make sure it isn't too heavily skewed toward stocks, at the exclusion of your other investments such as bonds, cash, gold, art or other assets. If you are looking to make moves in your portfolio, this is a good time to sell high and buy low. Revisit why you bought the stock in the first place and think about whether it's likely to continue meeting your criteria. Don't let the excitement of the Dow's milestone make you overconfident that all stocks will match the index's pace. You want to remain focused on what you own and why.
Stock options are the Lotto ticket of Silicon Valley, with one important difference.
The wealth can disappear overnight if you fail to cash in. It can be argued that the risk is mitigated when companies routinely reprice options in down markets, said Robert R. Pastore, a Sausalito certified public accountant who wrote a financial-planning primer called Stock Options. But you can't count on that. To assess whether you're taking too much risk, Pastore suggests you first calculate how much of your net worth is tied up in your stock options and how heavily you're invested in other stocks in your industry or sector. Second, look at your age, health and family responsibilities and ask whether it's time to cash in some or all of your options.