Deep Dive: Concentration in U.S. Markets

Evergreen Exchange

In today's podcast, Wealth Consultant, Kaeli Kaainoa, CFP®, sits down with our Senior Analyst, Gherman Howell for a deep dive into the past 18 months for equity markets, focusing on the so-called "Magnificent 7" – Apple, Microsoft, Nvidia, Google, Amazon, Meta, and Tesla. After the rotation to value in 2022, these tech giants reached a trough toward the end of the year, setting the stage for a remarkable recovery. They explore pivotal innovations, such as Microsoft's integration of OpenAI's ChatGPT and Nvidia’s AI-optimized chips, which fueled a resurgence in tech. The discussion highlights the immense influence of the Magnificent 7, now comprising 37% of the S&P 500, and how that stacks up globally. They compare and contrast each company, shedding light on key market sentiments and differentiators.