Do not put all your eggs in one basket
Diversification means spreading money across different companies and sectors so that one bad outcome does not sink you. If everything you own is in a single stock or a single industry, you are exposed to that one story going wrong.
AlphaLens shows a Watchlist Health read — concentration and sector spread — precisely so you can see this risk at a glance.
Size positions on purpose
Position sizing is deciding, in advance, how much to put into any single idea. A common beginner approach is to keep any one position to a small share of the total, so a single mistake costs you a little, not a lot. The goal is to survive long enough for good decisions to compound.
Risk is personal
The right amount of risk depends on your timeline, your income, and how you sleep at night. There is no universal answer, and that is exactly why this is education, not advice — only you (and, if you choose, a licensed advisor) can set your limits.