Adequate Quote by John Maynard Keynes
“To suppose that safety-first consists in having a small gamble in a large number of different companies where I have no information to reach a good judgment, as compared with a substantial stake in a company where one's information is adequate, strikes me as a travesty of investment policy.”
About This Quote
Source Book: The General Theory of Employment, Interest and Money, 1936
Investing many small unknown bets is worse than a large informed stake because it ignores knowledge and increases risk.
In simple terms: Diversify without info is risky.
Key Takeaway
Prefer informed, concentrated investments.
Themes
investment
risk
information
strategy
Mood
cautious
analytical
Type
financial
advisory
When to use this quote
- stock selection
- venture capital
- personal finance
- risk assessment
Key Concepts
portfolio theory
asymmetry
decision making
Questions to Reflect On
- How do you assess information quality before investing?
- When is diversification truly beneficial?
A Different Perspective
Large informed stakes can still fail if over‑concentrated.
