Over the 10 years from September 2010 to August 2020, a portfolio of the so-called FAANG stocks-Facebook, Amazon, Apple, Netflix, and Google’s parent company, Alphabet-held in proportion to their market caps would have delivered an average annual return of 34.25% per year. That means on average, the value of the portfolio doubled about every 2.5 years.
Given their great returns over the last 10 years, what is our best guess of how the FAANG stocks will do over the next decade?
Read Dimensional’s Kenneth French, PhD’s essay, “Investing in FAANG Stocks: Should You Expect Unexpected Returns?,” HERE.
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