Why Your Index Fund Won’t Protect You From Tech’s Collapse

[archon75@]

The S&P 500 is dominated by big tech, which was good news on the way up. Not so much on the way down.

Investors who thought their S&P 500 Index fund is diversified are getting a rude shock.

The benchmark stock index fell for a seventh straight week, its longest losing streak since 2001, but its drop would be far less dramatic if it wasn’t so heavily weighted to mega-cap tech stocks like Apple Inc., Microsoft Corp., Amazon.com Inc., Alphabet Inc. and Meta Platforms Inc.

 

[archon75@]

Why main stream media has taken a sudden turn hah?

 

[archon75@]

https://www.playthemusic.biz/us-at-a-high-risk-of-recession-warns-goldman-sach-s-senior-chairman/

 

[Reborn]

The S&P 500 is dominated by big tech, which was good news on the way up. Not so much on the way down.

Investors who thought their S&P 500 Index fund is diversified are getting a rude shock.

The benchmark stock index fell for a seventh straight week, its longest losing streak since 2001, but its drop would be far less dramatic if it wasn’t so heavily weighted to mega-cap tech stocks like Apple Inc., Microsoft Corp., Amazon.com Inc., Alphabet Inc. and Meta Platforms Inc.

with index fun, in the long run, there should still be some small profits.

 

[XuishX]

Lol S&P500 is supported by the big firms. Might as well buy into the big firms instead right

Is not even a diversified ETF imo

 

[archon75@]

https://www.google.com/amp/s/fortun...ictions-jamie-dimon-carl-icahn-elon-musk/amp/

Makan time for big fish soon

 

[anthonygreenisreal]

index fund is for long term bro,
Short term of coz down.
If the market cap of these big techs cannot sustain, they will be replaced by other companies in the S&P500.

 

[archon75@]

下雨loh,快点收衣服呀

 

[Captain Muthu]

Me: I'm investing for a 10-year horizon

Also me: panics over a thousand reasons of doom based on a few months of volatility

 

[danguard]

The S&P 500 is dominated by big tech, which was good news on the way up. Not so much on the way down.

Investors who thought their S&P 500 Index fund is diversified are getting a rude shock.

The benchmark stock index fell for a seventh straight week, its longest losing streak since 2001, but its drop would be far less dramatic if it wasn’t so heavily weighted to mega-cap tech stocks like Apple Inc., Microsoft Corp., Amazon.com Inc., Alphabet Inc. and Meta Platforms Inc.

 

[Soracak]

ok lah i lost more than 20% on index fund started wrong time will take a while to recoup. Should still win out over time see no substitute to silicon valley tech

 

[LoaGong12]

with index fun, in the long run, there should still be some small profits.

Huh it’s not small. Go and look at actual returns. Even with correcting those who hold long Enugh make enough gains - far in excess of cpf

 

[sPacEmAn_sPiFf]

All in CSPX kym?

 

[Reborn]

Huh it’s not small. Go and look at actual returns. Even with correcting those who hold long Enugh make enough gains - far in excess of cpf

what I mean is usually index fund, there should (at least) still be some small profits in the long term. Even though it might go down in the short term from when you bought it.

In fact, most edmwers should be buying index fund or singapore bonds and nothing else. Because most of us are actually clueless when it comes to investing.

 

[Reborn]

Lol S&P500 is supported by the big firms. Might as well buy into the big firms instead right

Is not even a diversified ETF imo

i think the index can change over time. For example, a company like Nokia might have been included in the index when they were at their peak. Then removed over time when they went down So I think it removes the work of analysing each company if you were to buy into them individually, when to enter or exit. And just let the index fund do it own work. Its like auto mode investing.

Quoted wrong post previously.

 

[archon75@]

https://www.google.com/amp/s/fortun...ictions-jamie-dimon-carl-icahn-elon-musk/amp/
In US, 81% are worried on incoming recession odd is increasing

 

[Johnpierpontmorgan]

Lol… chill… it’s index fund

 

[archon75@]

https://www.google.com/amp/s/www.bu...environment-with-risk-of-global-recession?amp
The transformation is timely and required support of all stakehokders

 

[Opps-gal]

with index fun, in the long run, there should still be some small profits.

Need dca to make the small profit or can do nothing still earn?

 

[MatrixFanatic]

The S&P 500 is dominated by big tech, which was good news on the way up. Not so much on the way down.

Investors who thought their S&P 500 Index fund is diversified are getting a rude shock.

The benchmark stock index fell for a seventh straight week, its longest losing streak since 2001, but its drop would be far less dramatic if it wasn’t so heavily weighted to mega-cap tech stocks like Apple Inc., Microsoft Corp., Amazon.com Inc., Alphabet Inc. and Meta Platforms Inc.

I will buy the Crash. Majulah AAPL!