...Do not stake your all! ...
There is a rule that all investors must strictly follow: "Don’t put all your eggs in one basket". Of course, if fortune favors you, you can make a big profit, but you should not play roulette with her. The risks in any business should be adequate and in case of failure it should not lead to bankruptcy.
Diversification is all good investment and it is not really cool when one egg is placed in one basket. But before one is thinking or making plans to diversify investment it is important to know what you are diversifying into, Diversification shouldn't just be based in making profit only but to know if the investment is a reliable one that is worth investing money into. Many investors goes into Diversification all in the name of making profit in the wrong investment. It is better to stick in one good investment than to diversify into wrong investment that can lead to lose of money.
The goal of Diversification should not be only for profit because if we consider only profit and not to know the worth of the investment it can lead to lose. Only diversify to investment that is profitable and reliable, these will surely yield value in every investment.