No. of Recommendations: 0
The question is this: how many individual positions should one take within a small cap allocation? HG holds a whole ton of tiny positions and many on the boards seem to lean toward "big" numbers (say 20-30 positions) as well. I think the risk can be managed with 10 or fewer within that asset class.

Thoughts? Trey


I think it depends on total amount of your portfolio, your time and inclination to manage it as well.

I have a lot of stocks and I have complained off and on over the yrs about it and wanting to pare things down. It never gets that way. I'm all for income and growth stocks so I have all sorts of things in there. I have a few losing positions but I'm holding on for now. I also have mutual funds that I set up a long time ago at Vanguard...I've made some changes over the yrs as well. I'm not a churner nor am I a nervous nelly as far as selling when the bad winds blow. They go up and they go down....the permanent down's are the ones I want to stay away from.

There's no right answer, it's up to the individual.


btw I just read about SM...small fry oil and gas company, I'm intrigued....but haven't done more research so do your own. :)
Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.