RE:RE:RE:RE:RE:NibblerTo consider yourself diversified you would really need to own 5-6 companies in different industries. They teach once you have more than 12 companies your market risk does not improve anymore. If you find an undervalued profitable company in a leading industry, there is no reason to skew your micro economics. To choose 5-6 companies in different industries reduces your returns. At least in my opinion.