I'm not selling my WMI shares @chum. I recently bought back in to WMI, and I currently hold WMI, WLE, WGB and BAF (soon to be renamed the WAM Alternative Assets Fund or WAM Alternatives). I don't hold WAM Capital (ASX:WAM) because of the near-zero profit reserve (which funds their dividends) and because of the premium to NTA, I don't hold WAX (WAM Research) because of the massive premium to NTA (of around 40% last time I looked), and I don't hold WAA (WAM Active) because they've underperformed, and because their main "active" guy (Martin Hickson) has moved on (left the Wilson Asset Managament Group), because WAA is just too small to be very relevant ($44m m/cap) and because I don't like some of the core positions in WAA (which are also in WAM Capital) which I believe provide a significant drag on their performance. But I like WMI - and hold them currently. You posted your comment under "WMI", not "WAM", so do you hold WMI @chum or just WAM? Regarding your question on selling LICs when they reach 10% premiums to NTA - I wouldn't do that personally. Particularly with LICs from the Wilson (WAM Group) stable, because they will often trade at premiums in excess of 20%, as WAM Capital (WAM) is right now. WAM Research (WAX) is closer to a 40% premium. If WAM Capital (WAM) had a decent profit reserve, meaning that I didn't have any concerns about a reduced dividend in the next 12 months, I would still be happy to hold them at this NTA-premium level, however I wouldn't be buying them here. If I owned them (and they had a healthy profit reserve), I wouldn't be selling them, but I won't buy any LIC at a 20%+ premium to NTA/NAV. However, as I have explained elsewhere, WAM Capital (WAM) have a dangerously LOW profit reserve (PR) which would be very close to zero after they pay out their latest declared dividend. ALL of WAM Group's other LICs - except WAA - have much healthier profit reserves. My view is that when WAX, WLE and WGB all have so many years worth of dividends in their PRs, why gamble on a huge positive turnaround in WAM Capital's (WAM's) performance? The risk/reward equation just doesn't look good to me with WAM Capital (WAM) at this point. I know it's their oldest LIC and it has the most loyal shareholders, but that loyalty will be tested if they significantly reduce their dividend in the next year or so because they don't have the profit reserve to fund the dividends they would like to pay (and have paid thus far). So, while I like the WAM Group, I am avoiding WAM Capital, their flagship fund, and investing in some of their other LICs at this point. The 10% rule, if you adopted it, would rule out WAM & WAX, and WMI has also traded at premiums of over 10% at various times, and probably will do so again in the future at some point. I think that the premium to NTA is just one consideration. It is more of a consideration when buying. Not as important if you already hold the shares. However, it was a no brainer for me to switch out of WAM Capital and into WAM Microcap and WAM Global and WAM Leaders at this point, considering their respective profit reserves and performance over the past couple of years. Basically, my decision is MOSTLY based on being in the best LICs who are most likely to grow both their NTA and their dividends over the next few years. Hope that helps @chum.