The NY Times writes that Charlie Munger, Warren Buffet’s less famous partner, believes too much diversification is crazy. The article begins as follows:
The architect of investment giant Berkshire Hathaway thinks too much diversification is nuts.
That’s actually what I said to myself after first reading that Charlie Munger, Warren Buffett’s longtime business partner and the vice chairman of Berkshire, isn’t a fan of spreading out your portfolio.
Experts have long told us it’s important to diversify so you can mitigate risk during market swings. If one stock or class of investments is down, it’s likely that another is thriving.
See full article at: This is how the rich think
Posted by Lewis J. Saret, Co-General Editor, Wealth Strategies Journal.