Here is an excerpt from a morning star editorial. Again it is...

Here is an excerpt from a morning star editorial.
Again it is not a rule for everyone, or maybe not for anyone, but food for thought.

8) Don't go overboard with diversification

Maintain sufficient but not excessive diversification. To quote Klarman: "Owning a diverse portfolio in one market may greatly reduce the risk associated with a single company hitting a bump in the road but will not at all reduce the risk of being in that market."
"If that market runs into a pothole, its components could all break down at once. This is particularly true if that market is trading at record levels of valuation, supported more by money flows than by fundamentals, as happens sometimes."

We have all witnessed this in the market and is frequent with the smaller financial advisers.
This may also be a future event in the gold and pm markets.
I bloody hope so as long as we know when to get out.
Wack