Calculator · Canada & US
Dividend portfolio concentration checker
List your holdings, sectors and yields to see income by sector, your largest positions, effective number of holdings and where your dividend income depends on one area.
Income portfolios drift toward the same few high-yield sectors. Let's see how much of your income leans on one of them.
Your holdings
Labels and sectors are yours to choose. Nothing is sent or saved.
Concentration
Yearly income
$3,360
Portfolio yield
4.8%
Effective holdings
5.4 of 6
Effective sectors
3.9
Largest holding
26%
Largest sector
39%
Share of value by sector
Share of income by sector
Banks is 39% of value and 35% of income. A sector-wide problem would hit both at once.
Your largest position is 26% of the portfolio, above the 10%–15% single-position level many teaching rules of thumb use.
Estimate for education, not advice. This site does not recommend, rate or rank any security and does not know your full situation. Results depend on your inputs and the simplifications listed under Method. Check tax details with the CRA or IRS, or a qualified professional. Read the disclaimer.
How to use it
- Add each holding with a label, a sector, its market value and its current yield.
- Read the share of value and of income in each sector. Income is often more concentrated than value.
- Check the effective number of holdings: 10 positions with one at 50% behave more like 3 or 4.
Method and limits
- Weights = value ÷ total value. Income = value × yield. Effective number of holdings = 1 ÷ Σ(weight²) (inverse Herfindahl index), and the same for sectors.
- Nothing you enter leaves your browser, and nothing is saved when you close the page.
Frequently asked questions
What counts as too concentrated?
There is no universal line. Common teaching rules of thumb flag any single holding above 10% or any sector above 25% to 30% of a portfolio, but your situation and other assets matter. The tool shows the numbers so you can judge.
Why look at income share separately?
High-yield holdings produce more of the income than their value suggests. A sector that is 30% of value can be 50% of income, so a cut there hits income harder than value.