[drumhead]

For traders maybe, because they pyramid the position on the back of any gains made. But you also don't want to have so much invested in one company that it becomes make or break. A 10% loss on 5% of your portfolio is way more manageable than 10% on 50% of your portfolio.

[rrrazdan]

No even for buy and hold investors. The best investors get only 55% of the bets right. Only a little better than a coin toss. The only reason the performance for them is better than the 55% metric would suggest is because they cut losses on losers early and push on winners.