Investing Simplified - Professor G

Professor G explains that the most effective portfolio consists of roughly 80 % low‑cost broad ETFs and no more than 10 % individual stocks—ideally three to five carefully researched companies—organized into three to four core ETF categories (such as value/dividend, technology, international, and bonds/commodities) to achieve diversification without unnecessary overlap. He recommends using the free ETFRC dot com overlap checker (and Snowball Analytics for tracking) to consolidate holdings, avoid redundant funds, and keep the total number of ETFs around three to four while balancing any stock positions across sectors.