[ldjkfkdsjnv]

Diversification is for poor people

[toomuchtodo]

You concentrate wealth to get wealthy, you diversify to stay wealthy.

[dosinga]

Or the sophisticated. A diverse portfolio has lower volatility, which means you can leverage it more which then leads to higher expected returns

[cpach]

Why is that?

[ldjkfkdsjnv]

Nobody gets rich from diversification. Its just what they tell uneducated people so that they dont take on huge risk

[jmcgough]

Idk, keeping spending low and pumping everything I could into index funds worked really well for me with minimal risk. When you come from a poor background and can't bounce back as easily from setbacks, you may have a different risk profile.

[cpach]

This statement is so general that I feel it doesn’t really say anything.

It’s true that Larry Ellison didn’t become a billionaire by buying and holding index funds. But for people who don’t feel a strong desire to buy their own yacht, index funds can be a very good investment.

[johncreatescode]

So it's better to stick with it and focus your energy on one thing?