Overview
- The S&P 500 recently set a fresh high after a roughly 16% gain in 2025, extending a two-year surge.
- Since early 2023, returns have leaned on the AI boom, with the index up about 78% versus roughly 52% excluding information technology.
- Information technology holds about 36% of the index, with Nvidia, Apple, and Microsoft anchoring an increasingly top‑heavy market.
- Valuation gauges flash caution, with the Shiller CAPE near 40.6, a level last seen before the dot‑com bust.
- Coverage highlights low-fee core funds like VOO and SPY for broad exposure, suggests equal‑weight S&P 500 ETFs to curb single‑stock influence, and notes targeted growth options such as VUG for investors seeking higher potential returns at higher risk.