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Margin Call
12 mins to read

How diversified should an investment portfolio be?

ANALYSIS: The extent to which the returns of different stocks correlate with each other is important.

'Some diversification brings huge benefits, but the benefits from further diversification decline sharply.'

Different people have radically different views on how diversified an investment portfolio should be, with some advocating hyper-diversified investment portfolios, whilst others make the case for highly concentrated portfolios.

The practice of diversification is similarly varied. For example, the NZ

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Nicholas Bagnall Tue, 25 Apr 2023
News tip? Question? Typo? Let us know: editor@nbr.co.nz
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How diversified should an investment portfolio be?
Margin Call,
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