ARL chart, page-412

Some of our friends are interested in what I do, often the statement is, you are invested with big money in 2 shares, you carry a huge risk.

My answer is always the same:
If you take a shotgun and a target, shoot one round into the target. Some of the pellets hit and most miss the bulls eye, That's averaging, it has mixed results and most of the pellets are wasted.
On the other hand:
My choice of weapon is a snipers rifle, I am only interested in bulls eye, 100% accuracy.

I manage to achieve this with copious amounts of research, dedication, and time spent practicing.
I check, recheck and research daily. Start again tomorrow.
If a share is doing the wrong thing and I cannot sensibly find reason, its cut.
Its not easy, its rewarding.

People/ investors that set maximum values of a share position, in relation to a portfolio value are selling themselves very short as they are averaging their portfolio.
Even worse, they are enacting a strategy of poverty by exiting trades that are increasing in value.
They are additionally holding onto dogs that are languishing, because it fits the portfolio ratios.
Not smart.
RED