Consider a significant but not huge portfolio, say $500,000 to $2 million, with a number of stock & ETf holdings.
What is the minimum size (percentage) holding that is worthwhile?
For example, is it worthwhile to have or keep a stock that is only 1% of the portfolio? Even if it doubles it is not going to have much effect on the portfolio.
How about less than 1%?
In a equal weight 50 stock portfolio, each stock would be 2%. If it has a few overweight holdings like SPY or QQQ, then it is likely to have many that are 1% or less.
What is the minimum size (percentage) holding that is worthwhile?
For example, is it worthwhile to have or keep a stock that is only 1% of the portfolio? Even if it doubles it is not going to have much effect on the portfolio.
How about less than 1%?
In a equal weight 50 stock portfolio, each stock would be 2%. If it has a few overweight holdings like SPY or QQQ, then it is likely to have many that are 1% or less.