(09-11-2019, 07:53 AM)rayray Wrote: I guess the answer is: Whatever amount you feel comfortable owning.
I might be wrong but I'm fairly certain Charlie Munger said one only needs to hold up to three stocks lol...I vaguely remember him saying that at one of the shareholder meetings I attended. I do know that WB said diversification is for people who don't know what they're doing--he also said diversification keeps one safe while concentration will make one extremely wealthy--MAN--with either advice one better not make ANY mistakes. WB also said buy an Index fund and forget it.
As much as I respect them both, holding all your wealth in three stocks is absolutely reckless advice neither of them has actually followed for 50 years, if they ever did. Advice given by the same guys that brought you KHC. They say a lot of things for shock value these days, especially Charlie. They contradict themselves, but we are smart enough to sift through it on this forum.