Money Management Diversifiaction and Concentration

Money Management is the most overlooked area. Most Investing approaches recommend some form of diversification-either an asset allocation and/or some form of a derivatives strategy to reduce the risk of loss. If the the Objective is preservation of wealth then diversification but if the objective is building wealth then concentration. "Building wealth is a marathon, not a sprint. Discipline is the key ingredient.

Concentration: the fastest way to build wealth and the fastest way to destroy it. To have any chance at “getting rich quick,” you need to hold a concentrated portfolio. But chance is the key word in that sentence, for you may instead get poor quick.