£10k in shares - diversify or not?

[johnfm]

At 1.31pm, after the US markets have opened I will ether buy this year's £10k limit on my Stocks & shares ISA or not.

Portfolio theory tells me to buy:

Oil/Gas: RDSA, BG Group
Tech: Apple
Pharma (GSK)
Agri - one of the few high yielding food producers TBA
energy: national grid
comms: AT&T or vodafone or frnace telecom or similar

The transaction costs of buying 10 stocks online would be circa 1% of the £10k.

BUT, with just £10k to protect, is it worth bothering, especially as my investment horizon is very long term (10-15 yrs).

Or should I jusst buy £10k RDSA and be done with it?

[Cockey]

I think you should diversify. Only don't if the transaction charges make it uneconomical to do so.

Also, you'll be wanting to buy RDSB, rather than the 'A' shares. The 'B' shares are far more beneficial to UK shareholders due to the way the dividends are taxed.

[Tyson1980]

John,

I would diversify..as you are holding for 10 years (which maybe too long!) you will no doubt see some major returns on a few shares IMHO.

RKH, SER, RRL.....within 10 years these should be multiples of what they are now..

Hopefully FTSE-listed also!

[johnfm]

Cheers all

Bought shell, apple, national grid and telefonica



Going to Look at some of the AIM oil and mineral companies in a couple of weeks.