Risks associated with concentrated stock portfolios are high now: How diversified is your portfolio?

Arriving at a right sized portfolio is the most important task in equity investing. However, some investors tend to keep buying stocks based on tips, never sell them and end up with bloated portfolios. Another set of investors hold only a few stocks and run the risk of having a concentrated portfolio. A concentrated portfolio is also the fallout for those who buy stocks only as part of their employee stock options (Esops)—the holding is