Meet the Low-Cost Vanguard ETF With 32.4% Invested in Nvidia, Broadcom, Micron, AMD, Intel, and Lam Research, While VOO Has Just 14.8%.
Even before OpenAI released ChatGPT to the public in November 2022, technology was by far the most valuable sector in the S&P 500 (SNPINDEX: ^GSPC) — led by software, hardware, consumer electronics, digital services, and cloud computing. The artificial intelligence (AI) boom has taken the S&P 500’s concentrated technology sector exposure to a whole new level.
As of Aug. 31, tech stocks accounted for 37.9% of the Vanguard S&P 500 ETF (NYSEMKT: VOO) — which mirrors the index’s performance. And that’s even when considering Alphabet, Meta Platforms, Amazon, Tesla, and Space Exploration Technologies are not classified as tech stocks.
By comparison, the STOXX Europe 600 — which represents nearly 90% of the investable market in Europe’s developed economies — has a mere 8.9% weighting in technology.
Source: www.fool.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.