Artwork

Content provided by TIP Group / Teaminvest. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by TIP Group / Teaminvest or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://ppacc.player.fm/legal.
Player FM - Podcast App
Go offline with the Player FM app!

Diworsification: When Diversification Goes Too Far – Teaminvest Wealth Builders Podcast

31:55
 
Share
 

Manage episode 492244787 series 3662461
Content provided by TIP Group / Teaminvest. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by TIP Group / Teaminvest or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://ppacc.player.fm/legal.

Episode Summary:
In this episode, we take a critical look at diversification—often called the cornerstone of risk management—and reveal why too much of it can actually hurt your investment returns. Host Kerry Fleming, CEO Andrew Coleman, and Head of Funds Management & Education Sanjee Narendran discuss “diworsification,” the hidden risks of portfolio bloat, and the importance of high-conviction investing for long-term wealth creation.

What You’ll Learn:

  • The difference between healthy diversification and “diworsification”
  • How academic definitions of risk differ from real-world investor experience
  • Why too many holdings can mask risks and cap upside
  • How to determine the right number of investments for your portfolio
  • The importance of understanding what you own (circle of competence)
  • Practical strategies for building a focused, high-conviction portfolio
  • Regulatory challenges and perceptions around “high risk” funds
  • Insights from Warren Buffett on portfolio construction

Key Quotes:

  • “With too many assets, you limit the benefit of getting any one right.”
  • “Diversification is protection against ignorance. If you know what you’re doing, diversification doesn’t make much sense.” — Warren Buffett
  • “Risk only matters on the downside—as an investor, not as an academic.”

Timestamps:
00:00 – Introduction: The myth of more is better
02:06 – What is diversification?
09:35 – Academic vs. practical risk
19:00 – How portfolio bloat dilutes returns
27:30 – How many assets should you really hold?
17:52 – Diworsification and Buffett’s wisdom
20:00 – The power of focus and knowing your investments
25:20 – Practical tips for smarter portfolio construction
17:00 – Emerging Wealth Winners Conference, Melbourne 2025
30:00 – Final thoughts

Resources & Links:

Join the Conversation:

  • What’s your take on diworsification? Share your thoughts in the comments or email us at [email protected]

Subscribe & Follow:

  • Subscribe on Apple Podcasts/Spotify/Google Podcasts
  • Follow us on LinkedIn and Facebook for more investing insights

About Teaminvest:
Teaminvest is an ASX-listed financial institution focused on transferring knowledge and wealth between generations. Our mission is to empower investors through education, rigorous analysis, and a supportive community.

🎙️ Enjoyed this episode?

Don’t forget to subscribe, rate, and leave a review on your favourite podcast platform. It helps us grow and reach more Wealth Builders like you.

📩 Join the conversation
Have thoughts or questions? Email us at [email protected] or connect with us on LinkedIn

🔗 Support the show
Love what we’re doing? Please show your love by sharing this episode with a friend.

  continue reading

11 episodes

Artwork
iconShare
 
Manage episode 492244787 series 3662461
Content provided by TIP Group / Teaminvest. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by TIP Group / Teaminvest or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://ppacc.player.fm/legal.

Episode Summary:
In this episode, we take a critical look at diversification—often called the cornerstone of risk management—and reveal why too much of it can actually hurt your investment returns. Host Kerry Fleming, CEO Andrew Coleman, and Head of Funds Management & Education Sanjee Narendran discuss “diworsification,” the hidden risks of portfolio bloat, and the importance of high-conviction investing for long-term wealth creation.

What You’ll Learn:

  • The difference between healthy diversification and “diworsification”
  • How academic definitions of risk differ from real-world investor experience
  • Why too many holdings can mask risks and cap upside
  • How to determine the right number of investments for your portfolio
  • The importance of understanding what you own (circle of competence)
  • Practical strategies for building a focused, high-conviction portfolio
  • Regulatory challenges and perceptions around “high risk” funds
  • Insights from Warren Buffett on portfolio construction

Key Quotes:

  • “With too many assets, you limit the benefit of getting any one right.”
  • “Diversification is protection against ignorance. If you know what you’re doing, diversification doesn’t make much sense.” — Warren Buffett
  • “Risk only matters on the downside—as an investor, not as an academic.”

Timestamps:
00:00 – Introduction: The myth of more is better
02:06 – What is diversification?
09:35 – Academic vs. practical risk
19:00 – How portfolio bloat dilutes returns
27:30 – How many assets should you really hold?
17:52 – Diworsification and Buffett’s wisdom
20:00 – The power of focus and knowing your investments
25:20 – Practical tips for smarter portfolio construction
17:00 – Emerging Wealth Winners Conference, Melbourne 2025
30:00 – Final thoughts

Resources & Links:

Join the Conversation:

  • What’s your take on diworsification? Share your thoughts in the comments or email us at [email protected]

Subscribe & Follow:

  • Subscribe on Apple Podcasts/Spotify/Google Podcasts
  • Follow us on LinkedIn and Facebook for more investing insights

About Teaminvest:
Teaminvest is an ASX-listed financial institution focused on transferring knowledge and wealth between generations. Our mission is to empower investors through education, rigorous analysis, and a supportive community.

🎙️ Enjoyed this episode?

Don’t forget to subscribe, rate, and leave a review on your favourite podcast platform. It helps us grow and reach more Wealth Builders like you.

📩 Join the conversation
Have thoughts or questions? Email us at [email protected] or connect with us on LinkedIn

🔗 Support the show
Love what we’re doing? Please show your love by sharing this episode with a friend.

  continue reading

11 episodes

All episodes

×
 
Loading …

Welcome to Player FM!

Player FM is scanning the web for high-quality podcasts for you to enjoy right now. It's the best podcast app and works on Android, iPhone, and the web. Signup to sync subscriptions across devices.

 

Quick Reference Guide

Copyright 2025 | Privacy Policy | Terms of Service | | Copyright
Listen to this show while you explore
Play