4 Index Funds I Predict Will Beat the Market in 2023
Do you want to beat the market? Most investors believe owning individual stocks is the only means of doing so. But there are other, safer ways to outperform market-based index funds like the SPDR S&P 500 ETF Trust (NYSEMKT: SPY). Different indexes lead and lag stocks as a whole every year. The key is simply figuring out which areas of the market are positioned to outpace the broad market in the foreseeable future.
With that as the backdrop, here's a closer look at four exchange-traded funds (ETFs) I suspect are poised to beat the S&P 500 in 2023. Note that in a couple of cases, much of this year's likely strength is rooted in last year's relative underperformance.
Last year was a bad one for most stocks, but it was a downright lousy one for tech stocks. The Vanguard Information Technology ETF (NYSEMKT: VGT) tumbled to the tune of 30% in 2022, largely on fears of the unknown. Technology stocks tend to be highly sensitive to economic weakness, after all. Investors were just thinking defensively in front of what could have turned into a major meltdown.
Source Fool.com
