How Many Stocks Should You Have in a Portfolio?

How concentrated should your portfolio be? Consider the pros and cons of owning more stocks.

By Rachel Warren – Updated Aug 11, 2025 at 6:14 PM | Fact-checked by Parker Hicks

Key Points

A well-diversified stock portfolio, averaging 20-30 stocks, minimizes risk by spreading exposure.
Adding to existing stocks or buying new ones depends on your portfolio's current diversification.
Consider ETFs for instant diversification, especially when investing smaller amounts like $1K.

How many stocks do you really need in your portfolio? Well, there's no right or wrong answer to this question; there are some good ways to arrive at a number that's right for you. Now, before opening up a new brokerage account, let's try to answer the question of how many stocks you should own.

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About the Author

Rachel Warren is a contributing Motley Fool stock market analyst covering pharmaceuticals, biotechnology, medical devices, information technology, and consumer goods. Prior to The Motley Fool, Rachel was a paralegal and legal administrator. She holds a bachelor’s degree in paralegal studies from Liberty University School of Law.

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