Most people don’t need a more complicated portfolio. They need a clearer one.
And honestly, this is one of the biggest reasons I built the ETF Screener.
Because ETFs are supposed to make investing simple.
That’s the whole point.
You buy one fund, and inside that fund you can get exposure to hundreds, sometimes thousands, of companies.
Different countries. Different sectors. Different businesses. All working together in one simple investment.
But somewhere along the way, people started treating ETFs like individual stocks.
And I am amazed by the amount of social media comments and emails asking what should I buy? or I don't understand them.
More ETFs Doesn’t Always Mean More Diversification
A lot of people want 10, 12, even 15 different ETFs.
A global ETF. An S&P 500 ETF. A tech ETF. A dividend ETF. A quality ETF. A Europe ETF. A UK ETF. An emerging markets ETF.
And don’t get me wrong, some of those can have a place.
But more ETFs doesn’t automatically mean a better portfolio. Sometimes it just means more overlap.
You think you’re diversifying…
