SNIPPETS FOR THE PENSION FUND INDUSTRY: Diversify or di-worse-ify: The fine balance between smart strategy and risky overload

This article takes a sharp look at one of investing’s golden rules — diversification — and flips it on its head. While spreading your investments is key to managing risk, going overboard can backfire, leading to a bloated, underperforming portfolio that’s harder to manage and less effective. Charize Beukes of Brenthurst Wealth Management unpacks how trying to “own everything” can reduce returns and shares practical tips on finding the sweet spot between smart diversification and risky overload. The article also shares clear, actionable strategies to help you refine your portfolio and avoid common traps:

• Focus on quality over quantity – choose fewer, high-conviction investments that actually move the needle.

• Diversify across sectors, asset classes, and regions, not just by adding more assets.

• Rebalance regularly to stay aligned with your goals and avoid hidden overexposures.

• Stick to your risk profile – don’t let hype or fear push you off course.

• Learn to say no to trendy or unnecessary investments that complicate your strategy.

Read the full article by Charize Beukes in Moneyweb of 19 March 2025 to learn how to streamline your investments, avoid common pitfalls, and build a portfolio that works harder and smarter for your goals here...