Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

2 of 21
BACK NEXT
2. Ditch your energy stocks
You're likely counting your blessings that there's one group of stocks - energy shares - that has surged over the past year.

Well, it's probably time to pull the plug: The euphoria surrounding oil "smells like tech stocks in 1999," says James Paulsen of Wells Capital Management, and the rate of growth in demand for oil has already begun to slow, evidenced by the recent drop in crude prices.

And odds are, you now have losses elsewhere in your portfolio to offset your taxable energy gains. What to do with your oil profits?

If you can be patient, consider investing in financials or blue chips (see No. 15 or No. 16). They've looked as bad recently as energy shares have looked good.

NEXT: Harvest some tax write-offs

Last updated August 16 2008: 4:37 PM ET
More Galleries
10 of the best beaches near airports Wait out your layover in the transit lounge? Or grab some sun, sand and surf? More
World's Top Employers for New Grads For an exclusive CNNMoney list, research firm Universum Global surveyed business students at colleges around the world to see where they most want to work. More
A White House press briefing as told by CNN's sketch artist The White House started banning cameras during some briefings, so CNN sent in sketch artist Bill Hennessy. More

Special Offer