I was listening to a Buffett interview from 1996. A lot of you may have listened to it as well. He was asked a question about diversification and in classic Buffett fashion, he rejected the whole ideology behind diversification and university finance courses teaching the prudent principle of diversification. Personally I agree with him, and he has stuck to this principle for a long time. Berkshire has a 50% allocation to apple right now. He said you should never need more than 3 businesses to make you extremely wealthy and get you through all economic conditions.
I’m interested in hearing. If you had to pick only 3 business for your entire portfolio. What would yours be?
For now, out of the 3, I can only pick 1 confidently – Tesla
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