I writing a topical email every week to my mailing list. Here’s our last email to subscribers which I thought I share.

You can sign up on our mailing list to get the latest updates when it goes out every week.

I’ve written in previous emails that concentration was highly dangerous.

In today’s article, I am going to make the case that likewise diversification (specifically unintelligent diversification) can be lethal to your portfolio returns.

Harry Markowitz called diversification “the only free lunch in finance.” The idea is that by diversifying, you can reduce your risk without suffering a loss in your returns.

So that’s your academic theory out of the way.

Let us talk about real life application. I am actually a believer in intelligent diversification.

For example – it makes a lot more sense to me that the average investor who does not have much free time should be buying