For a Concentrated Stock Position, Ask Your Adviser This

There can be advantages to having a lot of stock in one company, but ‘de-risking’ can help avoid some significant disadvantages.

Businessman balances stacked coins with finger on wooden seesaw over reflective desk.
(Image credit: Getty Images)

Market volatility, inflation and the pandemic have all amplified the need for investors to mitigate portfolio risks. Amid these factors, it’s vital to evaluate whether a disproportionately large portion of your portfolio is invested in any single stock — also known as a concentrated stock position.

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This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

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Robert Gorman
Founding Partner and Chief Operating Officer, Apollon Wealth Management

Robert Gorman is a founding partner and Chief Operating Officer at Apollon Wealth Management, a collaborative and transparent financial planning firm focused on aligning clients’ goals of growing and preserving their hard-earned wealth. As one of the highest-decorated advisors in the field (ranking in the top 1%-2% in the nation by certification), Robert has taken the helm of building Apollon’s unique trading platform. A respected Principal/Wealth Management Advisor, Robert established his career at the Gorman Financial Group/Northwestern Mutual in 2004. Under his direction, the firm was voted “Best Financial Planner” by The Post and Courier and was a finalist for “Best Investment Firm” in 2016 and 2017.