Best Ideas portfolio (with Josh and Michael)
b'In a recent study, Vanguard took a look at the last 30 years worth of data for the Russell 3000 index, which represents the total stock market. They found something remarkable - over the last 30 years, 47% of stocks were unprofitable investments and almost 30% lost more than half their value. They also found, and this is the big one, that 7% of stocks had cumulative returns over 1,000%.\\nBut imagine how hard it would have been to identify that winning 7% and concentrate only on those holdings in advance? In his recent post, Michael Batnick takes Vanguard\'s data and looks at the long-term risk of trying to only hold a small amount of stocks, even if you have the conviction that they are the right stocks. Diversification has a much better track record than randomized collections of larger positions.\\xa0\\nWhat are the ramifications of this for portfolio construction? How about investment advice? Michael and Downtown Josh Brown sort it all out in a brand new Live from the Compound.\\nRead Michael\'s post here and see the charts for yourself:\\xa0\\nhttps://theirrelevantinvestor.com/2019/03/25/how-concentration-affects-portfolio-performance/\\nEnable our Alexa skill here - "Alexa, play the Compound show!"\\nhttps://www.amazon.com/Ritholtz-Wealth-Management-LLC-Compound/dp/B07P777QBZ\\nTalk to us about your portfolio or financial plan here:\\xa0\\nhttp://ritholtzwealth.com/\\nObviously nothing on this channel should be considered as personalized financial advice just for you or a solicitation to buy or sell any securities. Please see this 3,000 word terms & conditions disclaimer if you seriously need this spelled out for you.\\xa0\\nhttps://thereformedbroker.com/terms-and-conditions/\\n Hosted on Acast. See acast.com/privacy for more information.\\nLearn more about your ad choices. Visit megaphone.fm/adchoices'