This study examined the relationship between childhood physical abuse, sexual abuse and placement instability, and sexually inappropriate and aggressive behaviors in a child welfare sample. Sexually Inappropriate Behavior was associated with all inde- pendent variables. Sexual Aggression and Child=Male Victims were both associated with Sexual Abuse and Placement Instability. Offense Persistence was associated with Placement Instability. All risk-mitigating factors (i.e., Self-Control, Global Adjustment, and Responsibility for Behavior) were associated only with Placement Instability. The broad and robust influence of placement instability on short-term outcomes of sexually inappropriate and aggressive behavior, as well as the risk mitigating factors, was the most notable finding. Findings underscore the importance of placement stability in the development of young children.