The broad U.S. stock indexes are weighted by market capitalization, which can work out well during a bull market, as success is rewarded and index-fund investors have growing allocations to the large-cap stocks that have risen the most. But it can also concentrate a high percentage of your money into a handful of companies.
There are different ways to mitigate this risk. One is to broaden your exposure by adding index funds to your portfolio that aren’t weighted strictly by market capitalization. This can be done with an equal-weighted…
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