I'm very new to stocks and I understand little of diversification, but I do understand semiconductors and I want to invest in SC industry. I'm currently looking at stocks like AMD, NVDA, TSM, ASML. Now, since TSM and ASML are the backbones of AMD and NVDA, these stocks are clearly highly correlated; AMD's success is TSM's success, though TSM could fallback on AAPL or NVDA if AMD were to fail. So my question is, would it be a bad idea to combine them all in my portfolio? Assuming my objective is to bet on AMD's growth, is there any benefit to also adding TSM to the mix?
Submitted August 10, 2020 at 07:24PM by VonLoewe https://ift.tt/3kwgn5V
