₹55,000 Lumpsum – Would You Buy 1 Stock or Split Into 3?

I have around ₹55k to invest for the next 2–5 years. Medium risk appetite, not looking for quick gains.

Confused between two approaches:

• Go all-in on 1 high conviction stock and let it compound
• Split into 2–3 good mid/small caps across different sectors

Part of me feels concentration gives better returns if the pick is right. But diversification reduces regret if one underperforms.

For those who’ve invested similar amounts — what worked better for you over the long term? Concentration or spreading the risk?