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> My ultimate worry is that Nvidia ... could pull the whole of the Nasdaq down when it blows It's already happened the other way. 50% of all S&P 500 growth co
by alberth 2y ago
> My ultimate worry is that Nvidia ... could pull the whole of the Nasdaq down when it blows
It's already happened the other way.
50% of all S&P 500 growth comes from just 5-companies (Nvidia).
Or said differently, 495-companies can only match what just 5-companies contributed (which Nvidia is 1 of those 5).
https://finance.yahoo.com/news/meet-5-stocks-contributed-almost-100500978.html https://finance.yahoo.com/news/meet-5-stocks-contributed-alm...
- abduhl 2y agoThis is not news. Market gains generally have always been dragged along by a small percentage of companies: Focusing on aggregate shareholder outcomes, we find that the top-performing 2.4% of firms account for all of the $US 75.7 trillion in net global stock market wealth creation from 1990 to December 2020. Outside the US, 1.41% of firms account for the $US 30.7 trillion in net wealth creation. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3710251 https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3710251