Risk Management at Work: Trimming Cryoport

Since we bought CYRX, the stock has gone up close to 200%. In the process, it has become by far the largest position in the Tailwinds Select Portfolio.

Normally, this is a good thing as the winners get bigger and drive performance. At a certain point, however, one stock can become too big and be too large a piece of the overall Portfolio. This is the case with Cryoport which, as of the morning of July 17, 2017, had become almost 27% of the Tailwinds Select Portfolio.

We have a policy at Tailwinds, which is to sell 1/2 of any position that becomes 25% or more of the Portfolio. Therefore, this morning we did just that, selling half of our CYRX position and redistributing the proceeds equally amongst the other 11 members of the Tailwinds Select Portfolio.

We remain 100% as bullish as ever on CYRX shares and fully expect to be holding our current position if and when it hits our target of $10 per share.