Advisors Target Diversification in 2026 Strategies as Mag 7 Risk Rises
If 2025 ends strong, it will be the third straight year that the S&P 500 has notched double-digit gains. Not too shabby.
But that has many advisors worried about valuations in the large-cap space, especially in technology stocks connected to artificial intelligence. The Magnificent Seven, including Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla, now comprise one-third of that index’s market value. Some advisors are looking to diversify away from those names, and note that clients are worried that the market is due to correct. After all the hand-holding, however, advisors should remind clients why diversification matters to their financial plans, said Patrick Runyen, director of organic growth at Modera Wealth Investing….
