Falling in love with one or two lousy stocks !

Most often average investors fall in love with stocks like Bank of America or Citigroup etc. just because they are trading in low single digits. But considering how much shared holder wealth they have destroyed and the significant drop in the share price, it's pretty clear how risky sticking to one or two companies with lousy characteristics. The market at times does not show distinction between quality and junk especially during good times when everything seems to be going fine and nothing could go wrong - yes, it's the same movie we have seen in 2008. Especially with the new regulations taking hold, the profitability of the financial institutions is not going to be what it was before the financial crisis when credit was flowing freely and lax regulations -basically free liqour era. It's always better to have very small portion of your portfolio in these kinds of stocks.