How to Diversify With Logistics & Supply Chain Stocks?

Diversification Within Logistics Pays Off

– Road, rail, air, sea = different risk/reward profiles
– Supply chain = tech, warehousing, cold chain, 3PL
– Avoid overexposure to one segment

Smart Diversification Strategy

– Mix asset-light and infra-heavy players
– Add exposure to last-mile + B2B logistics
– Include tech-first and cold chain companies

Why Diversification Matters

– One segment’s dip may be another’s gain
– Balanced exposure to e-comm + infra cycles
– Broader base = lower portfolio volatility

Pitfalls of Poor Diversification

– Overloading express delivery or road transport
– Ignoring backend like warehousing or cold chain
– Following IPO hype blindly without business analysis

Investment Insights

– Focus on 2–3 year horizon
– Buy low, wait for re-rating