The newspapers articles which I read today has a commentary which mentioned that investors are taking cues from the US Fed Reserves’ decision and that the Singapore stocks markets has been trading quite flat. Beside this announcement, we have geo-political tensions in Ukraine as well as in the Middle East as US and its allies weigh-in on their decision to fight the IS. Against this current backdrop, how should investors invest in Singapore stocks? My answer to the above is diversification. I know that to many retail investors, diversification means investing in different stocks sectors; this is akin to spreading one’s eggs across different baskets rather than putting all these eggs into one basket, as the proverbial saying goes. To me diversification (in the above sense) is better than not being diversified, but if one chooses the same types of stocks which respond in the same way, then diversification may ......