Crews Bank & Trust Blog

Chart of the Day: Equal Weight for an Even More Incredible Win

Written by Samuel A. Kiburz | Jul 20, 2023


Today’s Chart of the Day is from S&P Global. If you follow my posts, you will not be surprised that over the last 20 years the S&P 500 index, where larger companies make up more of the index than smaller ones, beat actively managed funds an incredible 92.4% of the time. That is a high bar to beat.The S&P 500 Equal Weight Index, in which regardless of the size of the company, each company makes up the same amount, had an even more incredible 98.6%-win rate! The past is no predictor of the future, but it is good to keep in mind when you are “shopping” or “being sold” investments.