Should I buy one share per stock or buy a few shares of one stock?
Asked 5 years ago
I’m new to stocks and would like some advice on what to do. I have a general idea of what I want to invest in and can only invest from paycheck to paycheck. Which of the following is the most profitable option: 1.) Would it be better to buy one share per stock and diversify the stock I own or 2.) Do I buy a few shares of one stock?
Arthur Nwosu
Saturday, April 24, 2021
If you have the proper amount for investing, it is actually better and safer to diversify you stock buying.
This helps you to cushion and cover losses. If say you have a portfolio of about five assets and two assets are under-performing while the others are making you decent return.
Those three well performing assets allow you to break even or stay profitable even with the two under-performing assets.
Even when those three assets do not cover those under-performing, to a large extent, it reduces the size of your loss exposure by a large degree.
.
Please follow our Community Guidelines
Related Articles

How to Build an Investment Portfolio for Retirement
Sofia Thai
April 23, 2021

The Best Trading Platforms for Beginners and Professionals
Sofia Thai
April 23, 2021

How to Open a Stock Market Account for My Child
Sofia Thai
April 29, 2021
Related Posts
Andia Rispah Igobwa
Which Stocks are Best for Beginner Traders to Get Into?
Filip Dimkovski
The Most Important Basic Trading Rules
Filip Dimkovski
Are There Any Advantages to Daily Stock Checking?
Filip Dimkovski
Guidelines for Beginner Penny Stock Traders
Filip Dimkovski
Should I Buy 100 Stocks or Buy a Call Option?
Filip Dimkovski
The Best Sources for Investment Advice
Can't find what you're looking for?
