Investing

Focus investing vs. Diversified Investing

  • Last Updated:
  • Apr 16th, 2016 8:59 am
Tags:
None
[OP]
Deal Addict
Sep 5, 2010
2347 posts
377 upvotes
Toronto

Focus investing vs. Diversified Investing

I love it when I have been practicing something already and then I read about it and realize there is even a word for it.

Have you heard of 'Focus Investing'? The idea is to focus on just one stock at a time, as opposed to 'Diversified Investing' where you invest in many different stocks across different industries to minimize your risk.

Well, I realized this is something I have been doing for months. Focus Investing that is. But to be clear, I shouldn't use the word 'investing' . It is more of a 'Trading Focus' . That is I try to buy 1 stock at a time for trading. But I do it mainly because of my limited funds and to try and cut trading fees (my TFSA account budget is around 10K at the moment) . Not to mention, by being focused on one stock at a time, it makes the job a lot easier and minimizes distractions.


Anyone here likes to trade using this approach? how does it work for you?
My Signature is empty. My signature space is not for sale. You may not contact me to advertise your RFD-related activities here. I repeat, this signature-space is not for sale, unless it is a ......day
1 reply
Deal Addict
User avatar
May 6, 2010
3143 posts
443 upvotes
Markham
One of the boss's accounts has exactly one stock! It's either boring or shiating brick. After watching the stock inches up/down for a few days, I ignored it altogether. A few months later, it's should I sell it for a profit or take a loss? Rinse and repeat.

Top

Thread Information

There is currently 1 user viewing this thread. (0 members and 1 guest)