Is 12 ETFs too many?

Is 12 ETFs too many?" This question often arises among investors as they strive to diversify their portfolios and balance risk with potential returns. The answer, however, is not straightforward as it depends on various factors unique to each individual investor. For some, 12 ETFs may represent a comfortable level of diversification, allowing them to capture exposure to a range of asset classes and markets. On the other hand, for investors with smaller portfolios or less tolerance for complexity, 12 ETFs may seem overkill. The key is to consider your investment goals, risk tolerance, and ability to manage your portfolio effectively. If you're confident in your ability to monitor and rebalance your holdings regularly, then 12 ETFs may be manageable. However, if you find yourself overwhelmed or unable to keep track of your investments, it may be worthwhile to consider consolidating or simplifying your portfolio. Ultimately, the decision on whether 12 ETFs is too many depends on your unique investment strategy and circumstances. It's important to remember that diversity is essential for reducing risk, but it's also crucial to strike a balance that allows you to manage your investments effectively and with confidence.