Currently, the stock market is in a weird situation where most stocks have exposure to the systemic risk of COVID-19. As it is highly likely that social distancing will become the new norm, a long list of businesses will be badly hurt: airlines, restaurants, movie theatres, music events, conventions, lenders, etc.
If the COVID-19 situation drags on for 3+ years, you don’t want your portfolio to blow up because of it. It would make sense to put a good portion of your portfolio into less risky investments that will survive. Because individual stocks can blow up, it is a good idea to diversify (e.g. 10-30+ stocks). It’s also a good idea to avoid owning too many stocks with similar risks (e.g. stocks in the same industry, too much COVID-19 risk, etc.).
Stocks discussed: CNC, UNH, CHTR / LBRDA, TSN, HRL, COST, PGR, V, MA, MCO, SPGI, FB, GOOGL, IAC / MTCH, VRSN.