August 7, 2018

Rise in FAANG stock ownership within ETF's

Passive Investing has grown in popularity versus Active investing and increasingly more number of ETF's have included the FAANG stocks according to Doug Kass in Realinvestmentadvice.


The dominance of FAANG stocks in the increasingly popular passive market  makes the acronym (and market) risky as many of the ETFs are using the same “momentum” factor. Consider that just five stocks (FAANG) are a top 15 holding in 605 ETFs:

ETF Ownership of FAANG Equities

2018: 605
2017: 501
2016: 430
2015: 332
2014: 277
2013; 230
2012: 175
2011: 101
2010: 62
2009: 14
2008: 9

ShareThis