The Five Stocks Driving the Market in 2023

[@PBoyle]

Get an exclusive Surfshark deal! Enter promo code BOYLE for an extra 3 months free at surfshark.deals/BOYLE

[@kaandervis6276]

Dear Patrick, I have a question: how SEC is making sure that big fund managers like Blackrock or Vanguard do not manipulate stock prices in order to increase the value of their index funds? For example 80% of Netflix stock is own by big institutions, they can easily push the price up artificially. Is there any regulation against that? Thanks.

[@mindcache5650]

The positive for Index Funds ; they are skewed . The rubbish is kicked out to be replaced by better performers automatically.

[@cedwardmassey]

I'm wondering what you think about the bankruptcy on YRC Worldwide.

[@ryanoconnor2101]

​@@KastorFlux❤aa

[@adamz9324]

Hey Patrick, I've got a book idea I'd love you to make. I reckon your sense of humour would make the topic much more accessible to readers. The idea is "The Time Traveller's Investment Guide", which recounts the biggest stock swings over the last 100 years or so. The idea is that a time traveller can make money in any time period, just by flipping to the right page of this book. Kind of like the sports almanac that Marty McFly buys in Back to the Future 2, but for investing. Obviously the title is a bit tongue-in-cheek, but if you write each chapter to cover an entire decade, in the style of your KZbin videos, the overall experience of reading your book should highlight to readers the really long market cycles that rarely make it into the news. It'll be like summarising a whole bunch of little waves into the movement of the tides. I reckon it would be a popular coffee table book on the premise alone! Very meme-able. After all, we've all dreamed of going back in time and amazing the locals with our future-magic... And if you do decide to use this idea, I hereby relinquish all copyright on this idea to Patrick Boyle. There. It's your idea now. :) -az

[@xelaxander]

Quick note from an compute professional: Currently Nvidia has a bit of a moat due to their software and hardware ecosystem. They have *the* best foundational libraries for massive parallel compute, as you need for AI, available. But their position is by far not set in stone. Google is attacking them hard with their Tensor Processing Units, Intel is attacking them hard both on the GPU and parallel compute side with their OneAPI library and AMD seems to kinda get their sh*t together with ROCm compute libraries. Plus a myriad of startups developing their own compute solutions. All of the popular AI frameworks are written generically over these compute libraries so once any hardware-library combination becomes competitive, NVidia is selling commodities.

[@Defy_Convention]

Nobody knows how well AI can be monetized and to what extent it'll be regulated. It's just hype right now.

[@xelaxander]

@@Defy_Convention Oh, to the contrary. We might have not figured out all use cases, but the main use atm is making white collar jobs more productive. Individual models are hard to monetize due to the hyper competitive open source culture around AI. But having a whole product family that’s faster and easier to use than the one your competitors are building *is* a massive moat. And AI promises improvements in tasks where software has struggled so far, hence integrating it i to your software products is mandatory to stay competitive.

[@CoolGuy123-cn9nm]

Is the outperformance of their chips due to just software or is their hardware was also better than competitors?

[@Nicolas-ir9xy]

Very good take!

[@Nicolas-ir9xy]

@@Defy_Convention Then that's even worse for Nvidia! Since their current overvaluation is based mostly on this AI "hype".

[@DavidM2002]

15:00 Scott McNealy's quote is priceless ( no pun intended...well, maybe just a little one ). What I would add to that is that before a company can start to pay out a dividend, it would first have to recover all of its prior years losses. So, look at the Retained Earnings / Deficit on the balance sheet and realize that the big hole you see has to be filled in with future profits first. And then the company might start paying a dividend.

[@wtfroflffs]

You’re right, it really puts the situation into perspective.

[@PBoyle]

Thanks to our growing list of Patreon Sponsors and Channel Members for supporting the channel. www.patreon.com/PatrickBoyleOnFinance : Paul Rohrbaugh, Marc De Mesel, Nate Stapleton,Timothy Baird, WIlam, Hernan Merino, Random Encounter, Nieuwsbrief Ikwil, Bee Positive Consulting, hyunjung Kim, John Cadena, Ian Tracey, Callum McLean, Oscar, Simon Pena, Ed, Erik Van Ekelenburg, David O'Connor, Pjotr Bekkering, Alex, Robert W Proudfoot, Andre Michel, Ivan Iliev, Gopaljee Atulya, Mark Hooker, Artem Vasenin, P H, Sebastian, Michal Lacko, Peter Bočan, Michael Pierce, V Jordan, Gil, Mark Brophy, David Urdenata, Juan Valdez, Bruce Roberts, Chad Norman, Bruce Roberts, Shamikh Rana, Friday Guy, Marc De Mesel, Augusto Ramos, Soy Boomer Doomer, Bob Slartabartfast, Robert Feiler, Camil Dbouk, Erik Montesinos, Matthew Loos, Az Indragiri, Aman Bali, Lautaro Parada, Pratap, Deborah Joseph, Robin Sung, Kurt Johnston, Dominik Auerbach, Gurmeet Kaushal, John Hall, Dara Mo, Josef Goergen, Wilbert Cheng, Jaroslav Tupý, Trevor Lucey JB Weld, Alex, Carlos Figuera, Peter Pomelov, Null065, Rick Thor, MeBerzerk, Henry Nguyen, Sola F, The Collier, Carlos Mejia, J Wadia, Bitcoin OG, easy boekhouding, Albert, Eugene Jung, Daniel Cervini, Jonathon Yong, Iris Ji, Emil Nicolaie Perhinschi, Charles, Eli Auto, Excks, Michael Li, Par Hedman, Praveen Mishra, Gerard Scott, joel köykkä, Areeb Ahmed, David Wang, Rodolfo Cornetti, Daniel Winroth, johnny, Nick Jerrat, Chris Houston, Alastair Currie, Robert Griffin, Andrei, zizi Golo, Fab Vida, Constantin Petrenco, pawel irisik, NotAScam, James Halliday, 22 Dust, Carsten Baukrowitz, Heinrich, Arron T, Ben Brown, Stephen Mortimer (to The Moon), Ryan B. 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Ingemi, Robert Wave, Dmitri Alexeev, Aaron Rose, Ethan Hernandez, Claude Chevroulet, Stephan Marosvary, Louis Julien, Jan Lukas Kiermeyer, Gearoid O Connor, Fredrick Saupe, Subliminal Transformation, Alex McMahon, Adi, Ben, Kurt Mueller, Janusz Wieczorek, Federico Viscomi, Corgi, Mahdi, Burgerinn, Quinn Cone, QiKaiQian, Stephen, Joshua Rosenthal, Michael Smith, Emilian Marius Tudor, Cormac, Ian Shearer, Michael Kopřiva, Tinni, Goran Milivojevic, Joe Del Vicario, Alexandre Mah, Norman A. Letterman, maRiano polidoRi, Stephan Prinz, Gary Yrag, Mattia Midali, Matthew Berry, Jay T, Gabor, Shivendra Saklani, Zachary Tu, Jeffrey, Lane Alan Deyoe, Chett Flynn Jonathan Horn, Mo Herbert, Lane Andrews, Justin Thuet, Olaf Thiele, Ivan Ilaev, Todd Gross, Douglas Caldwell, Wade Hobbs, Volodymyr Palii, James Hoctor, Gavotti SGP, Ryne Davis, Jean-Philippe Lemoussu, Keanu Thierolf, Michael Chow, Stefan Alexander, Miroslav Ognyanov, Scott Guthery, Vanya Davidenko, Arto Karhu, James Bache, Jason Harner, Dale Patch, Stefan Penner, Arvid, Eric, Jonathan Metter, John Way, Maria Baker, Sharath Vulupala, Keith Elkin, Chris Nicholl, Luis Carmona, Vinci Chan, Olivier, Yasha, James Yoh, Eduardo Martinez, Adi Blue, Swain Gant, georgejr, hyeora, old gambling art bag, Boussaken, Lukas Braszus, Vik, Chris Albertson, Sprite_tm, matt f, Douglas Caldwell, Adgn, Chris Rock, Tuan Nguyen Minh, Daniel Baak, Jeremy King, Julien Debache, M1, Dougald Middleton, Tom, Diarmuid Kelly, Gregory Mahoney, Angelo Rauseo, Ryne Davis, Anne Molphy, Ekaterina Lukyanets, Alfred, sugarfrosted, Okkie, Larry, Sarah, miilo, Alexandre GUYAMIER-CROISSANT, Alex C, Henk S, Noel Kurth, John Tran, Daniel Soderberg, Daniel Ralea, Steve Crotti, Shaun Deanesh, DaFlesh, Dominique Buri, B P, Manmeet Sheera, Stephen Walker, Richard Stagg, Bo Grünberger, Justin Sublette, R, Paul Twilley, 인기 김, Louis Görtz, Arjun K.S, josef strand, Simon Crosby, Alex Do, Minnah seoh, Jacob Snedaker, Edgar De Sola, Izidor Vetrih, WhiskeyTuesday, Compuart, Felix Goroncy, Nick Top, Anita Mui, C.J. Christie, lazypikachu23, Olivia Ney, Steven, Jordan Millar, Reagan Glazier, Viki Rebic, Adrian, KoolJBlack, Deborah R. Moore, Alonso Ibarra, Dru Hill, Dean Maurer, Tim Jamison, gavin, Ultramagic, HEWHOSHALLNOTBENAMED, Nigel Knight, Daniel Winroth, Paul Niekamp, Job Zamora, Zhnjy, Brian K. Lee, Tony Bianucci, storm, scott johnson, Suzy Maclay, Agatha DeStories, Chris Peterson, Nesh Hassan, Molly Carr, Christan, Michael Jones, Ross P, Conor Rainey, Milos Krljanovic, Richard Hagen, Nicholas Muller, Adam Stickney, Peter Weiden, RVM, Brainless, Marcio Andreazzi, Yih Pin, Ziad Azam, STEPHEN INGRAM, Michael Wilson, Gregory Lethbridge, Daan Jetten, Ivan Katanic, Benjamin, Boris Azais, Flanneryo, DoubleWhy, Paul Hilscher, Manuel Barkhau, Earnest Williams, Harun Akyürek, Dionysis Partsinevelos, toufik ouriachi, Maximiliano Rios, Claire Walsh, AT, Atanas Atanasov, William J. Murphy, Tom Eccles, Matthew Lang, Fernanda Alario, nishil, Alfred Tagher, Ulf Lundblad, Weijie Diao, Dave Jones, Matthew Colter, Alan Medina, Georgios Kontogiannis, M, Kirandeep Kaur, Charles, William Ching, Omer Secer, Clement Schoepfer, A M, Ivo Stoicov, Christian Nwadibia, Wade Hobbs, Sam Freed, DesuuDesuu, Oliver Goemans, ML, Kalimero Eric Holloman, Matthew Kokaly, waziam, Saaientist, DebsMO, Mike Pearce, Andrew Backer, Marcel Widmer, David Kavanagh, Piotr Klos, JAG, Stonks, Yura Vladimirovitch, Ticklemecolor, Artiom Casapu, Davíð Örn Jóhannesson, Anna, M G, Jacob Warbrick, Jessie Chiu, gurbans, Eric Bowden, Michael Green, james Brummel, Sahil Kumar, Huxky, Deb-Deb, David Swastek, Fly Girl, D F CICU, michael briggs, Dakota Jones, Stephen Fotos, David Nguyen, Bill Walsh, eliott, Ignacio David Palladino, Meee, Bolutife Ogunsuyi, Mihai, Tomislav Kožić, Max Macial, Thomas Foster, D Vidot, Reginald Gilbert, Brian W. Bush, korede oguntuga Zoe Nolan, TheGabornator, Erik Johansson, Shaun Alexander, Martin Esser, Old Ulysses, Nay Lin Tun, e_mister-t, Hong Phuc Luong Rolf-Are Åbotsvik, Viktor Nilsson, Rory McMullan and Yoshinao Kumagai

[@brodyalden]

Doxxed 💀

[@theaboveaveragejoe]

I just love how your subtle humor just pop up out of nowhere. And you say it with a straight face.

[@myyoutube1458]

Thanks!

[@PBoyle]

Thank You!

[@alexshtyn6336]

Unbelievable who would have thought that advice from someone who works in the field and reads actual books will fare better than the random hooting you get from influencers.

[@rhuephus]

the only ones those fake "influencers" influence are themselves and those who use worthless StockTwits

[@theamazingempiricist]

READS. ACTUAL. BOOKS.

[@LakanPepe]

The deadpan delivery of "Cathie Woods' Ark Investments, which invests primarily in unprofitable companies" has made it impossible to finish breakfast.

[@darrendent8288]

@19:03 as someone who made alot of money off of energy stonks last year. I agree 100% that stocks rotate sectors all the time. Just part of the economic cycle.

[@Croz89]

I wonder about the non-investment effects that such a stock concentration may be having on the wider economy. It suggests to me that most small to medium sized businesses in the US, those that employ the bulk of the population, are not really growing at all in aggregate. What it may be showing is the vast majority of the US economy, as measured by workers, is stagnating while a tiny minority of top performers, tech companies that employ relatively few people for their size, are going into the stratosphere and pushing the needle up. I'm not one to say if this is a good or bad thing, I'm not a hardline capitalist or radical socialist, but it does make we wonder if such concentration is sustainable long term and if there might be negative consequences down the line that will need to be managed one way or another.

[@TooLateForIeago]

"If you consider Tesla a tech company," Patrick, I'm pretty sure by now that facts have little to do with investing.

[@mikecounsell]

Many folks don’t consider Tesla a tech company generally because they know nothing about software, robotics , machine learning etc. … IE they know little about tech so they struggle to judge the company correctly. Also, they just don’t like Elon so Tesla must be a joke. Emotional people 😊

[@ohioplayer-bl9em]

Cash casinos

[@ClimateKiller]

Sir, this is a casino.

[@nealek8253]

What defines a Tech company?

[@Magic_beans_]

According to the SEC, only three of the Seven are tech companies. - Amazon is Consumer Discretionary because of their retail operations, - Meta and Alphabet are Communications Services because of advertising, and - Tesla’s an Industrial like other automakers.

[@TheGbelcher]

The point of diversification isn’t to get growth from a large number of stocks. A handful of stocks almost always explain the majority of the return in any given period. The point is that you never know which handful of stocks to buy.

[@chaosmonkey7037]

To use Patrick's examples, there must have been people buying IBM and Sun at their ATH thinking it's only going to go higher, just as there will be people thinking the same about Tesla and nVidia at their ATHs (if they have not already reached them).

[@ohioplayer-bl9em]

Patrick’s sense of humor is refreshing.

[@justcallmeccrazy2116]

Enjoy your presentations and your sense of humor. Company performance to me is not rollups or buying startups with the vast amounts of money that is and was being pumped into economy. Buying a gaming company for 60 billion and then cutting jobs or buying 100 startups and cutting jobs seems detrimental to our economy competition. I know it might not matter to most, but I do live in the real world of the U.S. which has been deteriorating for decades and frankly it makes me so sad and maybe even worried about the future, which has nothing to do with your wonderful presentation. Thank you for doing what your doing. In my mind concentration risk is a problem in many areas of our economy and many disciplines.

[@kyleinpa5285]

I understand where you are coming from, but it is not ideal for a company to employ more people than is necessary for that company to run. It might be good for that redundant employee but it is bad for customers, shareholders, and competition. It’s a net negative for our society.

[@robc8892]

Yea, this is also happening in the UK it is a disaster happening in slow motion

[@cyberft]

We need to disallow bank lending for asset purchases. This is the root of all that ails us.

[@AbdulRWatches]

Patrick entertaining and informative as always, another great one Prof 👍🏽

[@mishavoloboev4709]

Small correction to 10:30 it is not the first special Nasdaq rebalance. There was one previous in 2011 and in 1998, but the rest is great informative content as usual.

[@stevecatpatrick8056]

This is why you diversify across markets and not just large caps in one country. Developed markets, emerging markets, small caps, and value. S&P500 is still the largest portion of my portfolio, but it's only about 35% (not american)

[@eirikarnesen9691]

you will never get anything back from the third world. migth aswell just burn the money in the fireplace, atleast it gives heat then

[@celeridad6972]

At that point the only thing that can make you lose all your money is the collapse of human civilization xD

[@durrer9038]

Same here. 20% is US stocks. Mostly Russel 2000 and equally weighted S&P500.

[@codemiesterbeats]

​@@celeridad6972oh ye of little faith 😅

[@JeremyHelm]

14:50 iconic quote from Scott McNeely of Sun Microsystems, useful in formulating some sort of grounding in how you measure evaluation in the tech sector... Decades later, have any of the assumptions changed?

[@dosgos]

Such a helpful market update. Superb. I wish you could do this monthly but it is probably better to pitch good ideas when they emerge.

[@phonyalias7574]

For a couple decades now, the go to advice for unsophisticated investors is to just put your money into low cost index funds and you'll make a pretty nice return with essentially zero risk, so long as you don't pull out right after a crash. The problem though is that leads to a state of markets being solved where any company that is in an index gets guaranteed investment, and investors have the closest thing there is to guaranteed returns. Obviously, markets can't remain in a solved state like this forever because investing doesn't work without some concept of risk. Would it be fair to say that index concentration is essentially markets reacting to this solved state as there is now a large risk to these indexes if market conditions disproportionately affect just a couple of the over represented companies?

[@BrianBrecker]

As a passive investor who puts 5 dollars a day into an acorns account, it's funny cuz by the end of the video I'm told the conclusion I always stick with - keep regular contributions, set it and forget it, and don't touch the money.

[@simonegrant8226]

How long have you used the app? I am looking at it for my kids.

[@Inhumane]

probably not worth it when you factor in the fees@@simonegrant8226

[@seneca983]

20:00 There shouldn't be more taxes if that rebalancing happens inside a mutual fund or an ETF.

[@marvinamann4969]

Nividia is just overvalued. It's a great, profitable company, yes. But valuing it at a Trillion Dollars is just bonkers. That's why I personally build up a tiny short position against Nividia.

[@ciaranharrington4141]

Ouch

[@DrHonny]

Good morning Patrick, There will be in future any chance to have a specific video for europeans investors ? Thanks in advance.

[@sagebeer]

You're the best market channel.

[@ominollo]

Thanks Patrick! You never fail to teach us some valuable investment lessons 👍

[@the_expidition427]

When you see a bubble don't put it off take action immediately

[@owlmostdead9492]

4:20 Tesla nervously smiling at 70+

[@alschwartz8732]

key take away, sell straddles on S&P weighted and buy strangles on S&P to hedge. gonna have to back test this one

[@kagitsune]

This video made me pause and go learn what a P/S ratio is. From a beginner investor trying to manage their own retirement fund, thanks for remedy to the hype machine. I'm really sick of all this tech valuation bloat.

[@jakegoldsmith5922]

Patrick, is it fair to say that this effect might be related a monopololisation of the different areas of the tech sector by these large companies?

[@lordtark6736]

Love the camera work and lighting

[@gyroscopejones9217]

Thank your for talking about this. It was an amazing video and I've had to buy ETFs like SPYD to avoid this hyper concentration.

[@Axelf83]

Thanks for the deep insight we are accustomed to on your channel. Would it be possible to request a video explaining in your impartial way on what a ESG score is? As I know that's been politicized.

[@kyleinpa5285]

Active managers are the first to loudly point out the performance of the “Top 7”. I’ll stick with my tried and true S&P 500 Index fund with almost no fees and go up against ANY active manager’s emotional day to day decisions.

[@kevincameron192]

Sounds great in a market like this, what about when there's a crash and you're sitting at -30% across the board for ten years.

[@kyleinpa5285]

@@kevincameron192 if you think the S&P is going to be 30% lower 10 years from now, then you are a silly goose

[@paulinescholes6797]

THIS used to be one of my most watched YT channels... sadly, it's been a while since i visited it has been a very rough year... i am experiencing one of the toughest phases of my life... Lost a fortune lnvesting in emerging companies. Hopeful, for a turnaround.

[@kathleenstoner.n7499]

It's the market if you don't leave during the bear, you will be fine. You should have done a proper analysis of the companies or worked with Adam Brossard Wright, or any other sec regulated advisor. They are really trustworthy with low comissions. As a beginner investor myself, I have made over 45K in a few months of coping Adam's investing positions. In all honesty, I wish I had known about him earlier.

[@rockwellantonette4238]

You must have been greeedy serves you right. lol.

[@amydiscovered2665]

You didn't lose unless you sold

[@amymansfield8184]

Remember you only lose when you cash out me I am hoping Tesla stock hits $1000 or less which it's should between 2023 and 2024 then I am all in!!!

[@hblankenshipdo]

The S&P 500 may not be diversified enough nowadays, but the closed captioning on this live stream sure is…

[@samsonsoturian6013]

Weird sentiment, as it is technically globally diversified. The problem is the whole market is correlated due to all kinds of arbitrages

[@thomas316]

For a while there was this idea going around that organizations like Apple were likely close to the maximum size an organisation could get before losing efficiency but it doesn't seem to have stopped them growing.

[@samsonsoturian6013]

@@thomas316 the stock or the company?

[@thomas316]

@@samsonsoturian6013 Company itself, it was around the maximum number of employees that can be managed effectively.

[@hblankenshipdo]

@@samsonsoturian6013 My sentiment was made because the closed captioning on the live stream was changing language about every other sentence. I was also correlating it loosely with Patrick talking about how the few top tech stocks have recently been driving the market. Yes, I got excited after Apple topped $195 last week, especially after the stock split 4:1 in 2020, but I remain steadfast in my S&P 500 index fund. They may not be as exciting as my few individual Apple, Microsoft, Alphabet, and Amazon shares (I just can’t get into Meta), but my index funds are what let me sleep well at night.

[@johncloutier298]

I frequently recommend use of the equal weight S&P 500 index (and any actively traded holdings) in tax-advantaged accounts (e.g. IRA, 401(k), etc.) where the surplus gains will not go directly into taxes.

[@rainy_wish_studios]

I didn't realize equal weighted index were less tax efficient. Patrick always points out the important details.

[@crimsonpirate1710]

Rubbish, follow an equal weight tracker and you will get f all returns.

[@johncloutier298]

@@crimsonpirate1710 It’s attitudes like yours that keep the excess returns coming. Thank you!

[@mattanderson6672]

Thank you Patrick!

[@mikecounsell]

Your financial acumen is excellent, less so understanding of tech, tech IP and hardtech I think. I know little about complex financial investments however I know about robotics and AI… I’ll invest accordingly ☺️

[@svenshruufx7380]

Investors might consider globally diversified indexes, where the concentration is reduced. For example MSCI ACWI has currently only around 60% US stocks and includes both developed and emerging markets from the rest of the world as well. Need to note that in this index Apple still has 4.7% which is more than countries like UK or China 😅 Anyway the volatility / Sharpe ratio should be less than equally weighted indexes.

[@stephenadams2397]

what about an equal weight S&P 500 index?

[@george6977]

China intend invading Taiwan so Chinese equities will go to zero.

[@gotseoul123]

I don't know why people don't just buy VOO every single paycheck no matter what it's been performing like. Take out the leaders of every generation/Era and you get an underwhelming ROI with minimal upside and all the downside of companies that have bad ROI/ROE and C+ tier management and executives.

[@stephenadams2397]

@@gotseoul123 I made a lot of money investing in energy in 2020. > 200% returns. There are sometimes dislocations that are worth pursing.

[@svenshruufx7380]

@@stephenadams2397 higher volatility but similar returns due to many small companies have a relatively high index weight

[@INVESTORY-Greg]

an absolute amazing breakdown of current market conditions, I salute you sir

[@action4newsinligme803]

BuT tEsLa Is DifFeReNt

[@williamcruz5869]

Best video yet! Not as fun as the usual sarcastic commentary but very informative.

[@hamitd.540]

you are doing gods work partick. thank you!

[@Jumpman-cb9hw]

Aren’t asset managers (passive) incentivized to keep markets as high as possible to earn more fees? With the growth of passive investing shouldn’t there almost always be an overvaluation?

[@seneca983]

A passive asset manager can't keep the market high even if they would want to. How would they affect the market if they're passive?

[@Mishkafofer]

That is Warren Buffer level influence, and he talked about it. He prefer not influence

[@brokensythe]

This was a fantastic video

[@kaandervis6276]

Dear Patrick, I have a question: how SEC is making sure that big fund managers like Blackrock or Vanguard do not manipulate stock prices in order to increase the value of their index funds? For example 80% of Netflix stock is own by big institutions, they can easily push the price up artificially. Is there any regulation against that? Thanks.

[@thomas6502]

Curious if there's a data supported happy medium between market cap weighted and equal weighted options on the total market. If so, does passivity also disappear as a side effect? Someone might consider coining a term... perhaps, er, ...dynamic management since presumably it might imply more activeness, and "dynamism" might enjoy less stigmatism than active management does currently? Also, can I assume an AI will steal... er, ...I mean, legally obtain through non-sneaky means... a winning algorithm for the holy grail balancing schema? Then perhaps "robot management" might even be a cooler branding scheme than passive or active... but I digest (digress)... Fwiw, I also, enjoyed hearing a variant on the notion of three outcomes as well... an action is likely to have one of three outcomes: 1) improved, 2) unchanged, 3) worsened. Accurately tying an outcome back to an action seems to be where we humans go awry. Great content as always, thank you Patrick and co!

[@Assterix]

Is the concentration a result of generally better results of the tech sector or the .ai boom?

[@thomas316]

The concentration in tech pre-dates the AI boom for the most part. To be fair though tech companies seem to take more and larger risks than other sectors.

[@Funktastico]

the direct result of leading industry contains just a few big players dominating the particular sector... in contrast, for Australia ASX big caps is dominated by a handful of big banks and big miners

[@Funktastico]

@@thomas316 you forgot lehman 60x leverage

[@JonathanPoland]

Lots of companies trading at 10x revenue right now... close to 200 of them with caps over $2 bil

[@ReinOwader]

Netflix has also made huge gains this year. Great explanation of index funds. But I still don't understand how often stocks are valuated and rebalanced in s&p500 - every day, week, quarter, year? And is there some formula how to create my own index of my home market. I'd like to create my own index for Estonian and Baltic markets just to compare my single picks performance against index.

[@JosephDickson]

I'm hoping that being a Total World Market by market cap investor (Example: VT) I can avoid some of this. But at the end of the day I know as much as the next guy trying to plan for retirement.

[@BabaBest2000]

1:56 Aaaah!

[@CMVBrielman]

Someone should make an S&P490 index fund: everything but whatever the top 10 stocks are.

[@gyroscopejones9217]

This is unironically a good idea. I've been buying dividend aristocrat funds to filter the bubble out of my portfolio. I would buy that fund so hard

[@most-average-athelete]

there are already several, google for SNP without faang, what will happen is you'll find out it underperformed massively compared to SNP and you will not buy it due to FOMO :)

[@GaryARahn]

There is a Russell 2000 index

[@gyroscopejones9217]

@@GaryARahn It's valid and I own mid cap, but what if I want large cap that's not in some god awful tech bubble? So, for better or worse, I've filtered it out with dividend funds.

[@jgvtc559]

​​@@gyroscopejones9217nvidia is* pushing ai gpus With how massive ai is already and growing that isn't a bubble areas of their stuff may be but that in and of itself is or should be enough to grab some hold it for a whole and sell it at a profit Is this not what yall do that is the game right Ride the Rollercoaster to the highest point you can before it drops off that is stocks in a very simple explanation is it not? And lastly asus is getting ragged on by tech tubers yet I keep seeing their stock rise can you explain that to me?

[@peterh3213]

Patrick, how can overall value of index funds be 20-30% of total market cap if largest Apple has 2.862T market cap while largest index fund SPY has 432.26B only? There are multiple giants like AAPL (AMZN, GOOGL, MSFT) while nothing close to SPY. I think the overall size of index funds is hugely overestimated. What do you think?

[@goalwinnersuk]

Very informative!

[@samsonsoturian6013]

I per think closet indexing does well. You can exclude junk stocks and shave off some fees

[@MrSoopah]

How can i efficiently hedge nasdaq index fonds investments against tesla and nvidia busting?

[@everybodygotthat]

Patrick: you are not qualified to endorse a VPN service. Very few people are.

[@Pill-AI]

Very balanced and well curated information!! Thank you

[@Faraz70]

Patrick what watch are you wearing?

[@danielz2131]

Boyle you are the most interesting talker on the internet. So all FIVE-Stars to you, Boyle.

[@ljmorris6496]

Like the great analysis and comedy timing..

[@DaBestAround]

Hi Patrick, Great video. I'm by no means a stock picking genius but I had 4/5 of those companies in my portfolio (they were my biggest positions!) - Perhaps you've done a video on this but I'm very curious on hedge funds and why they don't beat the market(S&P 500). I understand due to the ridiculous fees they charge, it affects the returns of investors but I was wondering if you could do a video on hedge fund indexes and perhaps mention indexes that a regular investor such as myself can perhaps invest into it. I would love to see a video on all types hedge fund indexes. Thanks again.

[@sunnohh]

Simple as something like 98% of active traders lose money

[@rakynthosdarkkon1519]

​@@sunnohhThe 2% of profitable ones are almost all professionals though. A big reason why so many stock pickers lose money is because many if then are retail investors who either don't research or have poor quality research due to a lack of expertise or a lack of quality data.

[@tonycrabtree3416]

It’s called a hedge fund. “hedging your bets” is a term for “limiting losses/exposure”.

[@thesnackbandit]

In classical terms, the purpose of a hedge fund is not to beat the market.

[@DaBestAround]

@@thesnackbandit Hi, I've read (briefly) about the history of hedge funds and in particular about Alfred Winslow Jones. According to you, what is the purpose of a hedge fund?

[@caparn100]

How can I short NVIDIA?

[@richardhunt4576]

Simple, explanatory, very good.😊

[@afterrecession]

great episode. Thank you!

[@youdeservethis]

Thank you so much for making a video that I can understand. Your videos are both entertaining and educational. I appreciate the dry as gin wit.

[@goalwinnersuk]

Learned a lot from this! Thanks!

[@davianoinglesias5030]

That moment when you are sipping your morning coffee while listening to Patrick Boyle spitting out stock market facts with a touch of dead pan humour😁 Next up we need a video about diversifying across the global markets, how are indices with stocks from different countries performing?? Does it reduce Volatility?

[@Funktastico]

RSP equal weighted SP500 was also 5% away from ATH , a week ago.

[@brunomanco7529]

Well, theres also sp500 equal weight etf, but i also think it lags the cap weight

[@DavidM2002]

O.T. Patrick, did you see that Icahn Enterprises has cut their dividend in half ?

[@thomas316]

Too much Herbalife? 🤔

[@DavidM2002]

@@thomas316 No, I think it was too much Hindenburg Research.

[@thomas316]

@@DavidM2002 Isn't that Adani Group?

[@DavidM2002]

@@thomas316 Yeah, them too. Patrick Boyle : Carl Icahn Comes Under Fire! kzbin.info/www/bejne/gWXLfKWFmc-fgcU

[@scottwilly86]

@@thomas316 that was one of Hindenburg's targets

[@stanlob1223]

Respect

[@Discernment-ev5dz]

Excellent analysis!!

[@Dan-yw7sy]

Patrick, why isn't AAPL's 330 PE mentioned even once?? That's been bugging me for a few weeks. Thanks

[@ag5605]

The biggest risk for big tech is the regulatory...

[@lukelewkowicz2233]

Index funds as opposed to actively menaged funds prove that the less folks beteen you and your money does work for you in every case. Excelence is a single effort as opposed to averege of team work.

[@iOwlPro]

Thank you so much, you taught me some interesting things today just by watching your video

[@sivi9741]

Great job as usual

[@goalwinnersuk]

Stock is really on the hype today, it’s good to take advantage of these kind of videos

[@colinallen2763]

I would like to see what you think about Australian. Thanks

[@n.e.g.u.s]

Looks very polished in this video

[@Rice_Cake_]

This is a great breakdown of whats going on, and gives me some actual data to back up my hunch that the large tech stocks are overvalued

[@kofiamoako3098]

So equal weighted indexes are a good hedge??

[@BorselinoThadchack]

more like this, sir. How about small caps

[@how2pick4name]

I remember Sun well. I have a Java 1.0 book here from them. Where are they now? =)

[@rhuephus]

Oracle chewed them up and spit 'em out

[@stephenlight647]

The Paperclip! Most irritating Microsoft product feature ever! And the sly AI reference…too good.

[@svenshruufx7380]

Clippy 📎 was a joke on its own 😂

[@hibernian87]

Are index fees and etfs viable in Ireland with its large CGT and mandatory sell offs after (7?) years?

[@MrVjt]

Did you get a reply to this query? Feasibility of ETFs for Irish based investors?

[@goalwinnersuk]

That’s actually mindblowing

[@wpouser]

And I just started investing in the sp500 this year. Let's wait for the plunge them.

[@bold18unofficial]

The bubble will forever exist. Just gotta diversify the holdings into sustainable projects and infras while the weight is carried from the top. So shine light on companies from the bottom showing promise and innovation to be shown in the media. Infrastructure investment on the bottom carried by heavy weight on the top whole the ones who hold the Infrastructure together, real estate for example will be the middle men on the bottom line Infrastructure while weight is carried by revenue mostly market cap second.

[@_derpderp]

The Dot-com bubble energy of the the 2020’s seems to have migrated to NFTs, SPACS, and Crypto…like it always wanted.

[@abaddoniez]

excellent content as always!

[@joseantoniosantosdom]

Hi Patrick, good video. It is weird though you not looking at the camera, but reading the script on the side. This is distracting to the viewers. Why not get a teleprompter?

[@rhuephus]

ummm Stock price "value" is disconnected from actual company asset value. Especially with the pumpers / dumpers hedge fund managers manipulating the stock price.

[@anteeko]

how come they change how the index is calculated? it is silly, just let the investment fund adapt if they want to but dont change the index?

[@jwillsher80]

The state of the market does not feel well.

[@ScottMaurer-g2b]

80% of companies on the S&P beat their earnings expectations this last quarter. The weakness is in the prices and not in the companies or the economy. If you're going to hold an equal weighted fund, do it in a tax advantaged account like your 401k. It looks to me like it's not a great deal though. you're just getting paid more for higher risk which is how it should work.

[@MattMcQueen1]

Even if you invest in Vanguard's FTSE Developed World ex-U.K. Equity Index Fund, Apple and Microsoft make up almost 10% of the index.

[@MattMcQueen1]

It might be nice to have a FTSE Developed World ex-U.K. ex-U.S.A. Equity Index Fund, without having to combine different funds to achieve that aim.