Diversify or Focus?
By kenshin2143
@kenshin2143 (1880)
Philippines
April 12, 2013 8:46pm CST
I have read a lot of things about guidelines and tips about investing. Most investors would say do not put all your eggs in one basket and others would also say focus on one things. I have noticed that those investors who are diversifying their portfolio are rich but not really that excessively rich, but as those who focus, they have amazingly excessive wealth.
What do you think is the best?
1 person likes this
8 responses
@mrindustrious (140)
• Philippines
13 Apr 13
I'm not really sure what to answer as I am not a good investor myself and I still don't have enough to invest. But I'm planning to someday. Well, juat my opinion, I think you can have both diversify and focus. Put focus first then If you are already stable and earning good then it is time to diversify to earn more profits.
1 person likes this
@kenshin2143 (1880)
• Philippines
13 Apr 13
Good point there and I think I should also apply it when I am ready to invest already.
@jonastabuena (2307)
• Philippines
13 Apr 13
Focus is one of the important key in achieving ones goal, normal if don't have a focus in a particular thing, things will not perfectly right, there is a tendency that you can't notice a particular problem because your mind is occupied. Like in business its better to have only one business at a time, obvious if you have a lot of business, you have a lot of things to think of.
@artemeis (4194)
• China
14 Apr 13
I believe the answer lies with your criteria.
I am sure the most important consideration would be how much do you have to invest and your knowledge. It would be foolish to diversify when your finances are small and restrictive. At the same time, neither when you do not have a sound understanding and knowledge of what you are investing. You must be discerning enough to seek out sound advice and then do your own homework than to move by your own emotions and the crowd.
The golden rule is never to stretch yourself to limits beyond yourself.
@joliefille (3690)
• Philippines
13 Apr 13
For me it's still diversification. Though I'd like to add that it could be a mix of both diversifying and focusing. From my experience, focusing on just one investment program had hurt my pocket as most of the online passive income sites aren't made to last.
@AstralTango (62)
• Indonesia
13 Apr 13
I think it's true that you should diversify your way of investing. If you put all in one place, it is too risky if it goes to total loss. Like planning, there should be plan b in case if a fail. But I think you should focusing in all of your way of investment.
@MoonGypsy (4606)
• United States
13 Apr 13
i am not very big on investments, but that sounds about right.
