The NASDAQ Composite Index Is Useless

Below is a synopsis of this investment report:

  • The media has placed the NASDAQ in the spotlight so far this year, particularly since it significantly outperformed the S&P 500 and approached an all-time high.
  • Investors may be a bit frustrated to see the NASDAQ perform so well vs. their portfolio, but keep in mind that the NASDAQ is not a relevant index for conservative investors.
  • There are several differences between the NASDAQ and other equity market indices that make it incapable of being labeled as a “broad market” index.

 

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