Many investors end up taking excessive risk by putting a large portion of their portfolio into just one stock or sector.
Quoting @nithin’s tweet from X
You will now see an alert if a single stock or sector exceeds 50% of your portfolio. While “getting rich” with a concentrated portfolio sounds nice in theory, it’s often a recipe for disaster unless you are a genius stock picker.
Kite now shows a portfolio concentration warning if a new order causes a single stock or sector to exceed 50% of your portfolio. This is only a nudge, not a restriction. The aim is to make investors aware of concentration risk and encourage diversification.