Thanks for your help till now. I am a regular SIP investor in mutual funds from last 3-4 years and plan to carry on the same in future also. I wanted to check, should I diversify by investing in stocks also or if I am doing both stocks and MF then it is not a diversification. I have some extra cash and wanted to make the best use of it. In stocks as a newbie was thinking of starting with large cap stocks(with highest market cap) initially and then move to others once I have more knowledge in this area.
Any feedback from you will be of great help
The reason that is recommended over owning a single stock is that owning an individual stock would carry more risk than a mutual fund.