I was asked a question from chat GPT interesting so I'll tell you although I suspect you probably can get an equally good answer from chat GPT the most important principle is about what I call the Holy Grail of investing and that's about diversification what it means is in a nutshell I could describe it as if you can get 10 or 15 good uncorrelated Investments you can reduce your risk by up to 80 percent without reducing your return that means you increase your return to risk ratio by a factor of five risk reduction is really key
so uh it's how it's a know-how to diversify well in the area of 10 or 15 Investments if you can do that then you will make a fortune because making a fortune is not just a matter of The Upside it eliminates or reduces the downside so you continue to play the game a lot of people think that the way you make a lot of money is to come up with the best single or a few bets that's wrong that approach to the game will knock you out of the game you'll have one terrible situation mind
that what you don't know is greater than what you do know and so the power of diversification is a really great power so I'd like you to understand what are you good at what do you know and what don't you know and then how do you diversify well to have a good return relative to your risk that's the most important principle
