Is Investing in the Total Stock Market a Better Long-Term Move Than Holding S&P 500 Index Funds?
The S&P 500 is trading at record levels, and for investors, tracking the total stock market may be more appealing right now -- but that doesn't mean it's a sound strategy.
Overview
The stock market looks unstoppable these days. The S&P 500 has been flying high again in 2026, rising by around 13% as of Tuesday's close. It's hit record highs, with plenty of excitement still in the air, centering around tech stocks and, in particular, artificial intelligence.
Many investors, however, may be growing concerned that with the S&P 500 being on track for a fourth consecutive year of outperforming its long-run average return of about 10%, it may be due for a pullback. And if that's the case, perhaps other investments may make more sense, such as tracking the entire market through an exchange-traded fund (ETF).
Details
Are S&P 500 index funds still worth investing in, or are investors better off investing in funds that provide exposure to the entire stock market? Let's take a look.
Source
Originally published at www.fool.com.