No investor ought to gamble their future on only one UK share. That might be an almighty threat.

My self-invested private pension (SIPP) holds round 20 totally different shares. Whereas I’d fortunately junk two or three of them (I’m taking a look at you Aston Martin, Glencore and Ocado Group), binning the remainder could be painful.

However let’s say any person put a gun to my head. Which might be the only real survivor?

Narrowing it down

There are some shares that buyers may purchase in the event that they knew prematurely they may solely maintain one. Utility inventory Nationwide Grid is seen as a strong dividend development play, however I don’t really maintain it.

Client items large Unilever has each defensive deserves. I did maintain that, however not too long ago banked a revenue as I used to be underwhelmed by its development potential.

So what in regards to the shares I do maintain? Which might I save?

I’d hate to promote personal fairness specialist 3i Group, which has doubled my cash in 18 months. It’s had an incredible run although, and appears a bit of bit too costly, so it must go.

I’d additionally hate to dump insurer Phoenix Group Holdings, whose shares are up 30% in a yr, and nonetheless yield a bumper 8.3%. It’s a contented day when the Phoenix dividend hits my SIPP, and the identical applies for rival FTSE 100 wealth supervisor M&G. One other super-high yielder.

But each must go. If these dividends are reduce at any time, the funding case may collapse. I don’t suppose they’ll, however the stakes are excessive right here.

I’d additionally offload my SIPP development inventory stars Rolls-Royce Holdings and BAE Methods.

Lloyds is the inventory I’d save

They’ve performed brilliantly, however keep in mind, I can solely maintain one inventory right here. I’d financial institution my income on each to make manner for final inventory standing, Lloyds Banking Group (LSE: LLOY).

I purchased the excessive road financial institution on three events in 2023, and it’s been the shock over-achiever in my portfolio.

I hoped for modest share price development. As an alternative, Lloyd shares are up 40% in a yr (and 72% since I purchased them). As soon as my reinvested dividends are added, my whole return is nearly 100% in 18 months.

Lloyds is now virtually completely targeted on the UK home market, which makes it a play on our financial fortunes. There are good sides to that – but in addition unhealthy ones. The UK financial system isn’t precisely thriving proper now, whereas inflation stays a menace.

Mortgage charges have really been rising once more in current weeks, which may additional squeeze home costs, and gradual demand.

Earnings, development and buybacks

Lloyds has additionally needed to put aside hefty sums for potential debt impairments, and could possibly be on the hook for a billion or two, following the motor finance mis-selling scandal.

However regardless of its sturdy run, the Lloyds price doesn’t look over valued, with a price-to-earnings ratio of simply over 12. The forecast yield of 4.4% ought to maintain the revenue flowing. Particularly because it’s coated 2.1 instances by earnings. The financial institution can also be operating a hefty £1.7bn share buyback.

Lloyd may have its ups and downs and like I mentioned, I’d be loopy to go all in on only one inventory. But when I needed to do it, this may be the one.