Clever people
tell me
does it REALLY pay off having a wide variety of stocks compared to just investing in ones that have bottomed out and then being patient?
I'm a novice and others may be able to answer more comprehensively than I can.
For me - I wanted to get into green energy. Biden winning the US election, then the Democrats taking control of both houses has pushed green stocks higher. The Dems have promised to invest heavily in new infrastructure for cleaner energy. Plus, this is a necessity anyway. I'm into Plug Power, IShares Global Clean Energy EFT (quite heavy into this), Tesla and to a lesser extent some smaller green companies.
My portfolio of investments in 26 different stocks is split between:
EFTs - these generally rise albeit quite slowly (bar the one mentioned above which is flying).
Green tech companies with growth potential (more risk involved here).
Stocks that pay dividends above 7.50%. Growth in stock price might be lower but the dividends (set to auto re-invest) boost the profit.
I also have a few hundred shares in Cineworld and will get into AirBnb shortly. At some point we will come to some normality post-pandemic. People should start to resume some of thier old ways so I'm hopeful of boosts for these. Same might be true for the budget airlines.
Edit - to add a $50k investment in Tesla in 2019 when its share price was $40 would now be worth $1 million! I wish!!!!!