Read? Position Sizing and Diversification
Quote from SMOL :
Here we go:
Is owning 30 stocks in a portfolio diversified enough?
Especially if 40-50% of that portfolio is geared towards financials?
And you have no clue what is Narrow Country Focus risk?
We have a little issue here. Think Grasshopper not PowerMaths?
As retail investors, many of us may not have that kind of war chest to chase ALL 30 blue chips in our local stock exchange, SGX; but we may have enough resources to chase after X or XX by position sizing. It will achieve reasonable diversification across industries and sectors.
Does Grasshopper mean Singapore's listed companies only do business in Singapore selling char kway teow, laksa, chicken rice arh?
OIC. He meant STI ETF and poked the preacher :-)