Miami Over-Concentration & Lack of Diversification Investment Attorney

Over-concentration or lack of diversification means “putting all your eggs in one basket.” It is basic investment strategy to diversify a portfolio among many assets in order to reduce overall portfolio risk. Often times financial advisers will fail to diversify a portfolio properly, causing unnecessary losses in the portfolio. Over-concentration can occur where too much of a portfolio is invested one or only a few positions or where too much is invested in one industry. For example, a portfolio where 80% of the positions are “financials,” such as bank stocks, is over-concentrated and will be subject to undue risk in the event that financials fall out of favor.

Carlson & Associates, P.A. has experience in handling cases involving over-concentrated investments or lack of diversification as well as other Miami investment fraud cases.

Contact our Miami Investment Fraud Attorneys

Carlson & Associates, P.A. has years of experience helping Miami clients with investment fraud, corporate & partnership disputes, officer liability and coverage & legal and accounting malpractice. Contact us online or call 305-372-9700 for more information or assistance.