Warren Buffett's Take on Diversification and Why It May Not Apply to Everyone

Reported about 10 hours ago

Warren Buffett has long criticized the need for diversification among professional investors, arguing that focusing on top-performing assets, like one’s best player in a game, makes more sense. However, for average investors lacking the time and resources Buffett has, a well-diversified portfolio through passive index funds can mitigate risks and ensure stability in a volatile market. While Buffett maintains a concentrated stock portfolio, he also highlights the importance of diversification for everyday investors to protect against market fluctuations.

Source: YAHOO

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