Do You Suffer from the FAANG Mentality?

 

“Investors with concentrated portfolios may actually miss out on the very stocks that deliver the best of what the market has to offer.”

How much influence does the top 10% of performing stocks have in the market? Dimensional Fund Advisors reviews the impact with the FAANG (Facebook, Amazon, Apple, Netflix, Google) mentality. If you remain focused on only the top performers, you may miss out on all that diversification can offer, including more dependable outcomes over the long term.

This report is intended to be used for educational purposes only and does not constitute a solicitation to purchase any security or advisory services. Past performance is no guarantee of future results. An investment in any security involves significant risks and any investment may lose value. Refer to all risk disclosures related to each security product carefully before investing. Soundmark Wealth Management, LLC, its advisors and its affiliates do not provide tax or accounting services. This material has been prepared for informational purposes only and is not intended to provide, and should not be relied on for, tax or accounting advice. Please consult with your tax advisor prior to engaging in any transaction.