What should I sell to reduce concentration?
A question about what could be done next. The answer describes what is there and what would change; what to do about it is a decision only the person holding the portfolio can make.
Worked through on a sample portfolio. The figures below are that portfolio’s, not yours.
I can only explain what your portfolio shows — I can’t give buying or selling advice.
Here are the concentration facts your data shows. The table lists the largest positions by weight so you can see where concentration is highest.
| Asset | Weight (%) |
|---|---|
| Apple Inc. | 18,41% |
| iShares Core MSCI World UCITS ETF | 16,55% |
| Microsoft Corp. | 11,62% |
| MasterCard Inc. | 10,66% |
| Deutsche Lufthansa AG | 8,41% |
What this means for concentration (figures from your data):
- Your top holding makes up 18,41% of the portfolio.
- Your top five holdings together make up 65,64% of the portfolio.
- By asset class, Stock is 49,09% and ETF is 31,21%.
- Sector concentration: Technology is 39,98% of the portfolio.
If you want, I can run a simple “what-if” scenario that shows how reducing a position by a chosen percentage would change its weight and the top-5 share. Tell me which holding (or “top 1”, “top 5”) and the percentage reduction to simulate.
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See this for your own portfolio
The assistant answers the same question about your own holdings, with your figures and today’s prices. Import from your broker, or open the demo portfolio and ask it there.