Buy ETF or buy its top components?

 Building a stock portfolio

1. Know your risk tolerance.
2. Adequate industrial diversification
3. Don't put all your eggs in one region
4. Each portfolio size
5. Monitor & Review

I wonder if this writer is old-fashioned way of stock investment ?  But I agree that "not to put all eggs in one basket".

1.  What stocks make up STI?
Top-5 largest components of the ST:
1. DBS (20.2% weightage)
2. OCBC (11.8% weightage)
3. UOB (11.6% weightage)
4. Singtel (6.2% weightage)
5. Jardin Matheson (4.6%)
makes up 60% of STI.

These companies pay most of dividends. Why then bother to buy other stocks ? When these stock prices rise, so will the Index.

2. What stocks made up S&P 500?
Top 8 largest companies of S&P 500 that made up 30% of market capitalization.
1. Apple,
2. Microsoft,
3. Amazon.com,
4. Nvidia,
5. Alphabet
6. Meta Platforms
7. Tesla
8. Berkshire

Why then bother to buy other stocks ? 

~~~

Talking of diversification, most of us put 100% of our assets into SG basket.  What do you think ?

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