In this episode, we tell the story of Nortel Networks — a company once worth nearly $400 billion that employed 95,000 people across 150 countries. Within a decade it was gone, its share price falling from $124 to zero. And the people who suffered most weren't reckless investors. They were loyal employees who had their retirement savings tied to the same company they worked for.

We use the Nortel story to explain concentration risk — what it is, why it's so hard to spot when things are going well, and why spreading your money across many assets isn't just sensible, it's the closest thing investing has to a free lunch.

In this episode:

• How Nortel went from 19th century Canadian telecoms company to one of the biggest tech firms on earth
• What happened when the dot-com bubble burst — and why Nortel's collapse was worse than most
• What concentration risk is, and why it feels like conviction right up until it doesn't
• Why holding stock in the company you work for is a unique and specific danger
• Why diversification is boring, and why that's exactly the point

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This podcast is for informational purposes only and does not constitute financial advice.