Warren Buffet once said that, owning the S&P 500 index fund, is the best thing any investor can do.
According to Savita Subramanian, head of U.S. equity and quantitative strategy at Bank of America, strategy may not be the best option in the current market scenario.
Savitha still approves of Buffett's long-term strategy. nonetheless, notes that different investors have various time horizons.
Investors can gain exposure to small-cap companies by using ETFs. Funds like the iShares Russell 2000 ETF and the Vanguard S&P Small-Cap 600 ETF (VIOO)
Compared to the index's 27% return, the best-performing sector for the S&P 500 in 2021 returned a total of 53%.
In stark contrast to the market's double-digit loss, the Energy Select Sector SPDR Fund (XLE) is up a healthy 35%.