The S&P 500 Equal Weight Index (EWI) allocates 0.2% to each company regardless of size, unlike the traditional S&P 500, which weights companies by market cap. Yet, their performances are almost identical. Now, here’s a question that will blow your mind: How much does the money supply grow per year? 8 to 10%. How much does the S&P 500 average per year? 8 to 10%. And remember, 90% of hedge fund managers never beat SPY. The illusion of making money in the stock market is a big lie. You barely survive compared to the ever-growing money supply. Once you see it, you can’t unsee it.
