diversification

What is the optimal diversification for your portfolio?

Diversification is a strategy that investors may use to reduce risk in their portfolio. This is achieved by holding stocks in different sectors and different market caps.  However, you can overdiversify and this can affect the performance of the portfolio. In this article we talk about the dangers of overdiversification and what the optimal number of shares is for a portfolio. Optimal Number of Shares for Diversification Twenty stocks is the optimal number to have in a share portfolio. Your …

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