Friday, January 22, 2021

Chart of the Day: Epic Concentration

Currency setups going forward, relative valuations, dividends and demographics in a number of developed and developing markets are factors suggesting that foreign equities may have an edge over the U.S. in coming years. 

Which, as I've illustrated herein, also fits with the historical trend in relative performance.

Came across this chart which vividly explains much of the U.S's recent, and impressive, outperformance. Which happens to be largely the performance of literally just 10 of the S&P 500's members. 

The U.S. index's degree of concentration in just a handful of names, as we've also explained herein, has now eclipsed the 1999 record... 😟

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