Investors are clamoring for a piece of tech and AI these days, which is not surprising. Microsoft and Apple—the two US companies with the highest market cap—saw triple-digit returns in the last five years. Their well-publicized performance and massively popular profiles easily make them investor favorites—so much so that some investors are growing blinders and ignoring the broader market altogether for these popular stocks and others like it.
This can be a costly mistake. While MSFT and APPL aren’t likely to topple anytime soon, tech stocks typically outperform the market during bull runs and underperform when times aren’t as good.
