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https://boards.fool.com/quotthis-is-what-my-current-portfolio-looks-34682530.aspx
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| Subject: Re: Portfolio Diversification | Date: 12/1/2020 4:26 PM | |
| Author: Howie52 | Number: 27961 of 27982 | |
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"This is what my current portfolio looks like: 1.Large-Caps: 15 Companies – 31% of Portfolio (Max allocation for a single company 3.63%) 2.Mid-Caps: 10 Companies – 39% of Portfolio (Max allocation for a single company 12.76%) 3.Small-Caps: 3 Companies – 12% of Portfolio (Max allocation for a single company 9%) 4.International: 7 Companies – 18 % of Portfolio (Max allocation for a single company 6.95%)" ******************************************************************************* Just a mention - diversification is more than the market sense of a company. Also, you should consider the industrial classification and the relationships between industries. The idea is to reduce risk so that you do not have companies that all "tank" at the same time - e.g. cyclical companies that are not dependent upon the same drivers for earnings. Having an all "utility" investment in large, mid, small and international stocks would not provide diversification resistant to a market decline in demand for utilities. Just a thought. Howie52 |
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