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Personal Investments • Extreme Concentration in the S&P 500

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The top 10 stocks in the S&P 500 now make up a record-high 35% of the index. Having half of my investments in SP500 index, I find this very disturbing.

What do you guys think?

https://www.apolloacademy.com/extreme-c ... he-sp-500/
the S&P500 isn't "the market". It's about 82% of the market.

If you look at "the market" at least the US market you see the top 10 stocks in VTI make up 25.54% of the fund. Source: https://investor.vanguard.com/investmen ... omposition

does that make you feel better to know that the top 10 stocks of VTI "only" make up 25% of the index, rather than 35%?

less concentrated isn't it?

If you have 50% of your money in that, then the top 10 stocks only make up half of 25% or 12.5% of your portfolio. So 10 stocks making up 12.5% of your portfolio means...

1 of those 10 stocks on average makes up around 1% of your total portfolio.

sounds like a nothingburger to me, like most articles on the internet which are designed to irritate you, or get you anxious/fearful so you do something, rather than simply stay the course.

what do YOU think?

Statistics: Posted by arcticpineapplecorp. — Mon Jun 10, 2024 9:42 pm — Replies 10 — Views 520



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