I recently read an opinion piece that was lambasting diversification as “diworsification” (a play on words borrowed from legendary Fidelity stock manager Peter Lynch). Warren Buffett said "Diversification is protection against ignorance. It makes little sense if you...
diversification
Silver and Gold!
"Silver and Gold! Silver and Gold! How do you measure its worth? Just by the pleasure it gives here on Earth!" - Sam the Snowman from Rudolph the Red-Nosed Reindeer I can’t help but think about Cornelius the prospector from the Rudolph movie when people ask about...
Basic Investing Building Block #3
How can you reduce investment risk? Diversification! Diversification in investing is a technique whereby you allocate your money in different financial instruments, industries, etc. By doing so you reduce your risk by limiting your exposure to any single company....
Knoxville News Sentinel: How Does a Financial Planner Invest?
Have you ever wondered if a chef eats his own cooking? Does a doctor take her own medicine? Or, do financial planners invest in the same strategies they recommend to investors? Recently, a vice president at Morningstar, an investment research firm, wrote about his...