The Weightage of the S&P 500 Index is one of the critical criteria that any investor should be aware of. Weightage benefits are: (1) Understanding which sector or company impacts the index most (2) Helps investors to invest in high-weight companies called Blue Chip Stocks so they can make good returns on it.
The index is calculated based on the free-float market capitalization of the index constituents and covers almost 75% of the total US stock market. The contribution or impact of every company in the S&P 500 is equal to its weightage which is given below.
| S&P 500 Historical EPS | Top S&P 500 Stocks by Market Cap |
| S&P 500 Dividend Aristocrats | S&P 500 Annual Returns |
| S&P 500 PE Ratio & Valuation | Investing in S&P 500 ETFs |
S&P 500 Companies By Weight (2022)
The top 10 holdings, with a combined value of about $14 trillion, account for about 30% of the S&P 500’s capitalization. These are good starting points for investors who want to know how the broader market moves.
S&P 500 Sector Weightage (2022)
As of March 2022, the S&P 500 sector weightage by total market capitalization was: Energy (3.7%), Industrials (8.0%), Technology (28.1%), Consumer Durable (11.8%), Consumer Staples (6.2%), Health Care (13.3%) and Financials (11.5%).
Also, Check: –
Dow-30 Weightage | Nasdaq 100 Weight
How to Invest in S&P 500?
Many investors search stock weightage query for index investment propose, divide their portfolio to high weight stock, and buy the stocks accordingly. However, the weight of every stock changes regularly.
Following that change is next to impossible for the general investor. To solve this problem, investors can buy S&P 500 ETFs or Index funds, which allow them to invest in one click without any complication.
2 Comments