Are you a beginner in stock investing? Have you been asking the veterans in the stock market about the “required” number of stocks that you should have in your portfolio? The truth is, their answers to you can never be the absolute reality as the real answer depends on your situation as an investor.
In the US and some Asian countries, many long time investors would advise the new ones to invest in at least 10 stocks so your portfolio can be considered as diversified. Or if possible, make it 20 stocks as long as they come from different industries.
In the Philippines, many “mentors” will tell you to keep 8 stocks at most from different industries so you can easily monitor and manage your portfolio. Others will say that you need to focus on 3 to 5 stocks only. Continue reading How Many Stocks Should You Have In Your Portfolio?