Don’t Put All your Eggs in one Basket

What happens if you hold the opposite belief: that it is good to put all your eggs in one basket. You may then spend your time and energy watching over them and making sure the eggs hatch. As you can see, an innocuous “heuristic” such as “Don’t put all your eggs in one basket” is a way of dealing with risk and uncertainty and may well be very appropriate in an environment filled with events that are difficult or even impossible to see in advance. It could equally be the path to mediocre returns if mindlessly pursued in an environment where the environment is relatively placid and riskless. >>>>

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