Diversification Is Your Only Friend

James Picerno submits: How many times must this lesson be learned? Apparently there’s no limit when it comes to naïve and overconfident investors, which is to say that the need for tutoring is vast and unending. Sad and frustrating, but still true. Two examples from today’s papers remind once more that diversification is too often ignored, assuming it’s recognized at all. Chalk it up to greed and fear, and perhaps ignorance of sound investment strategy. Good financial planning advice is widely available, but that doesn’t stop self-destructive behavior in finance, even in the center of the financial universe. Complete Story »