The purpose of adding SGX is to balance my portfolio. My portfolio was set up using SGX, SPH and Starhub as foundation stocks, while Reits and other dividend stocks are supporting casts.
For the purpose of diversification and not to tie down the well being of my portfolio to the fortune of any single company, my three foundation stocks should not exceed 20% of the overall portfolio. On the other hand, the supporting casts should not exceed 10% of the overall portfolio.
One of my friend is holding Starhub in about 80% of his stock portfolio. While Starhub is a good company, he is bearing unnecessary risk by concentrating too ......
