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URL:  https://boards.fool.com/diversification-is-not-always-better-160-33972195.aspx

Subject:  Re: I cashed out of the Market today Teacherman. Date:  3/8/2013  3:36 PM
Author:  JaysRage Number:  395419 of 396

Diversification is not always better.    A perfect buy of the right one stock is always better.   It's a risk/reward situation.   You decrease your risk with diversification, but assuming your one pick is your one best pick, you also decrease your reward.   There are people who generate wealth by really understanding just one thing, such as a commodity, really really well.  

In addition, there is always money in doing the thing that everyone else is scared to do.   If it's a definite must-not, I've found it's worth considering with a great deal of investigation and analysis as a wealth-building option. Following the herd is the one thing that I can guarantee will not generate wealth.  

The ultimate "going all-in" is starting your own business.   People that do it successfully get rich. Those that don't end up starting over.  If you're single and young...there are worse things.   All of these things depend on your situation in your life, your goals.....blah....blah...blah.  

End of story, you made the call, took the risk, reaped the reward.  Kudos and congratulations!    


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