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236: How to Profit and Protect in Any Market Conditions - with Tom Basso

Better System Trader

NOTE

Diversify to Prosper: A Portfolio of Many

Managing a portfolio with a variety of positions is essential for mitigating risk and enhancing returns. Start with at least 10 to 20 investments to achieve better diversification and avoid over-concentration in a few stocks. Including different asset classes, such as futures and ETFs, adds further diversification, helping to reduce volatility since these assets may move differently over time. Aim to grow your portfolio gradually, adding cash and expanding across various market opportunities. A sound strategy focuses on balancing long and short trades to navigate market fluctuations effectively. Personal commitment, disciplined spending, and a growth mindset are key to building wealth over time, making the most of bull markets and reinvesting gains to pursue futures trading and other opportunities. Maintaining a diversified portfolio helps traders avoid emotional attachment to individual stocks, fostering a healthier investment outlook.

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