Back in 2000s, the infamous Dot-com Bubble burst and the burgeoning tech sector plummeted, dragging the Nasdaq Composite—which was heavily weighted with tech stocks—down with it. And while most of the market was in the red, none of the other sectors experienced the downturn more than tech. As a result, it took the Nasdaq Composite 15 years to surpass its 2000s highs, while the S&P 500 took less than seven.
That’s why I like to say, “Never put all your eggs in one basket—unless you want to see all your eggs fall from dizzying heights, all simultaneously.”
