Is it possible to be too diversified and how can you tell? Why Warren Buffet thinks diversification is protection against ignorance. Topics covered include: The skills you need to be able to select individual stocks.How have active managers outperformed relative to passive indexing products.How much diversification is too much and a test to determine if one is over diversified.What is factor investing and which factors have worked over the past 200 years. Thanks to LinkedIn and Policygenius for sponsoring the episode. For show notes and more information on this episode click here. [2:22] Exploring the concept of over-diversification[5:25] Should you pay for an investment advisor to select individual stocks?[8:05] An individual investor should choose index funds[11:10] Determining how much diversification is enough?[13:37] Weighing the cost against the benefits[16:10] When being over diversified is possible[17:05] Analyzing the listener question regarding over-diversification[20:20] A Fascinating study analyzing 200 years of factors[25:08] Layer on additional value factorSee Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

What are the timeless principles we can follow in order to become better investors.  Topics covered in this episode include: How a book's permanence makes it different from a podcast.How David's book got written and published and why his publisher just recalled the hardcover version of the book.What are the 10 questions we should answer before we invest in anything. Thanks to NetSuite and The Great Courses Plus for sponsoring the episode. For show notes and more information on this episode click here. [0:20] How David decided to write a book.[3:00?] The right book can change your life.[4:20] The art of writing a book.[7:00] The extensive process of writing a book.[9:57] Recording the audiobook.[11:32] Question 1: What is it?[13:36] Question 2: Is it investing, speculating, or gambling?[14:32] Question 3: What is the upside?[15:54] Question 4: What is the downside?[16:42] Question 5: Who is on the other side of the trade?[18:06] Question 6: What is the investment vehicle?[18:58] Question 7: What does it take to be successful?[20:20] Question 8: Who is getting a cut?[21:03] Question 9: How does it impact your portfolio?[22:05] Question 10: Should you invest?[23:06] What happened to the book launchSee Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.