Diversification is overrated.

Since I’m getting a lot of shit for this and nuance doesn’t exist around here I’ll elaborate.

You don’t get wealthy by diversifying.

You get wealthy by making a few good bets that go big.

A small biz. A W2 for years with options.

You get GOOD at something useful and focus.

60 years older with a retirement account you worked your whole life to build?

Diversify. Absolutely. 100%.

Preserve your wealth.

45 with 20 working years ahead of you?

Focus.

Focus doesn’t mean risk.

I have 90% of my NW in self storage.

But we focus on cashflow so we control more. We don’t care what interest rates are for a ReFi.

We don’t care what someone else will pay for our building 24 months later.

We could absorb 8% interest rates and we’d still be cashflow positive and we’d hold while 90% of other real estate folks go broke.

We have enough cash on hand to cover debt service for a year with no cashflow.

We aren’t over-leveraged.

There are thousands of ways to win. Folks who diversify win.

I will diversify soon when I move into the wealth preservation phase of my life.

But the folks who win big in this world make a few concentrated bets they are almost sure will work.

I think too many folks are thinking about their retirement accounts.

I’m talking about the most important resource of them all - your TIME!

Focus and take big bets with your TIME!

The hate is insane in the comments section of this tweet! https://twitter.com/dadinvest/status/1357070122142302214