Comment on Is the AI Conveyor Belt of Capital About to Stop?
yakko@feddit.uk 12 hours agoUnfortunately, stocks tend to move in sympathy with each other due to various factors, such as large ETFs and algorithmic trading. Natural price action is kind of broken at the moment.
Zink@programming.dev 11 hours ago
Absolutely, plus since index funds are cap weighted, ordinary retirement fund investing folks are very much vulnerable to it.
If I pull up VTSAX (vanguard total stock market index fund) what I find is…
Sectors: Technology is 38% of the fund and I see 11 sectors listed.
Top 10equity holdings, in order from the top:
NVDA MSFT AAPL AMZN META AVGO (Broadcom) GOOGL TSLA GOOG BRK.B (Almost like its own index fund)
This is fine!!