- With the US (and big tech) dominating 2024 returns, the region remains in favour with ETF buyers
- And yet the picture is not quite so simple
Like any market narrative, the idea that US equities and big tech have unstoppable momentum doesn’t always hold up to scrutiny. That’s evidenced by performance in the third quarter of this year, when the S&P 500 and several of the Magnificent Seven stocks slipped back thanks to a sell-off that began in late July. By contrast, we saw indices in most other major investment regions, including Asia, spring back to life.
The US and most of the market’s leading lights are still well up for 2024, and as a result they continue to dominate the thinking of many investors. That’s especially the case when it comes to passive investing, where investors can bet on the leading markets and stocks fairly easily via conventional tracker funds.