Are the "Magnificent Seven" Stocks Too Risky for You? Consider This Fund
Investing in the S 500 is normally a sound long-term strategy. But this year, while its valuation has been rising 23%, that has largely been due to seven stocks. Known as the "Magnificent Seven," the following big tech stocks have been leading the rally in 2023: , Amazon, Apple, Meta Platforms, Microsoft, Nvidia, and Tesla.
The concern for many investors may be that as these tech stocks have achieved significant gains this year, their valuations have become inflated. That means they could be vulnerable to swings in the other direction next year, and that could mean that mirroring the S 500 may not be as strong a strategy heading into 2024.
But there is one intriguing option that may reduce some of that risk for investors.
Source Fool.com