Just 10 stocks is very risky. An academic study has shown you need 60 to eliminate your non-systematic risk in the sector/region your companies are in.
Buying “low” is of course the name of the game, but judging that on the basis of “what isn’t performing” does not sound like a wise strategy. What if it never performs well?
The trick is finding valuable companies that are going to keep churning out the profits on a regular basis for 30+ years, and which are currently undervalued by everyone else. A very tricky thing to do.
So tricky, perhaps only a small handful of people in the world have managed to pull it off to a successful degree over long periods of time. Warren Buffet was one. You could invest in Berkshire Hathaway, led by Buffet. But even Buffet says that the way to go these days is to just invest in an ETF tracking a broad index, like the S&P 500.
There are 2 famous funds in the UK led by investment managers considered to be the UK’s Buffets. Though Freetrade doesn’t offer funds. And those funds suffer from a similar concentration risk as your 10 stock proposal.
When going with ETFs, you don’t necessarily need ones that focus on dividends. Over the long term you just want growth. When you retire you can think about selling for capital gains and buying something else that gives a more assured yearly income.