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The Importance of Confidence Diversification
The idea of confidence diversification is not so much trying to time yourself in and out of the market. You want to have a wide variety of companies that will react to different swings in market sentiment which are driven by confidence or lack thereof. By looking for those opportunities, you have different parts of your portfolio that over the long term are moving up into the right direction. But as we deal with the volatility from day to day and month to month, you can look at your portfolio in aggregate and have a more balanced view.