Markets in a Minute

Visualizing Every Company on the S&P 500 Index

Published

10 months ago

June 21, 2023

Dorothy Neufeld

Complete Breakdown of S&P 500 Companies

S&P 500 Companies: A Complete Visual Breakdown

S&P 500 companies hold $7.1 trillion in assets, and account for close to 80% of available market capitalization on U.S. stock exchanges.

The index serves as a barometer for the U.S. stock market, covering the largest public U.S. companies by market capitalization. Often, it reflects investor sentiment and is considered an indicator for U.S. economic health.

As the S&P 500 enters a bull market after the longest downturn in decades, the above graphic shows the entire makeup of one of the world’s largest markets.

Top S&P 500 Companies, by Weight

Here are the 100 biggest companies on the S&P 500 by sector and weight, using data from Slickcharts. Data is as of May 5, 2023.

Rank, by Weight	Name	Sector	Weight (%)
1	Apple	Info Tech	7.46
2	Microsoft	Info Tech	6.69
3	Amazon	Consumer Discretionary	2.72
4	NVIDIA	Info Tech	2.04
5	Alphabet (Class A)	Communication Services	1.82
6	Berkshire Hathaway	Financials	1.69
7	Alphabet (Class C)	Communication Services	1.59
8	Meta	Communication Services	1.50
9	UnitedHealth Group	Health Care	1.34
10	Tesla	Consumer Discretionary	1.32
11	Exxon Mobil	Energy	1.29
12	Johnson & Johnson	Health Care	1.23
13	JPMorgan	Financials	1.16
14	Visa	Financials	1.09
15	Procter & Gamble	Consumer Staples	1.06
16	Eli Lilly	Health Care	0.98
17	Mastercard	Financials	0.94
18	Merck & Co.	Health Care	0.86
19	Home Depot	Consumer Discretionary	0.85
20	Chevron	Energy	0.82
21	PepsiCo	Consumer Staples	0.77
22	Broadcom	Info Tech	0.76
23	AbbVie	Health Care	0.76
24	Coca-Cola	Consumer Staples	0.72
25	Costco	Consumer Staples	0.64
26	McDonald's	Consumer Discretionary	0.63
27	Pfizer	Health Care	0.62
28	Thermo Fisher Scientific	Health Care	0.62
29	Walmart	Consumer Staples	0.62
30	Salesforce	Info Tech	0.57
31	Abbott Laboratories	Health Care	0.56
32	Bank of America	Financials	0.56
33	Cisco Systems	Info Tech	0.55
34	Walt Disney	Communication Services	0.53
35	Linde	Materials	0.52
36	Comcast	Communication Services	0.49
37	Accenture	Info Tech	0.48
38	Adobe	Info Tech	0.46
39	Danaher	Health Care	0.46
40	Verizon Communications	Communication Services	0.46
41	NIKE	Consumer Discretionary	0.46
42	Texas Instruments	Info Tech	0.43
43	NextEra Energy	Utilities	0.43
44	Oracle	Info Tech	0.43
45	Philip Morris	Consumer Staples	0.43
46	Bristol-Myers Squibb	Health Care	0.42
47	Advanced Micro Devices	Info Tech	0.42
48	Wells Fargo	Financials	0.42
49	Netflix	Communication Services	0.42
50	Raytheon Technologies	Industrials	0.41
51	Honeywell International	Industrials	0.38
52	United Parcel Service	Industrials	0.37
53	Intel	Info Tech	0.37
54	Amgen	Health Care	0.37
55	Lowe's	Consumer Discretionary	0.36
56	Starbucks	Consumer Discretionary	0.36
57	Union Pacific	Industrials	0.36
58	ConocoPhillips	Energy	0.36
59	AT&T	Communication Services	0.35
60	QUALCOMM	Info Tech	0.35
61	Intuit	Info Tech	0.35
62	Medtronic	Health Care	0.35
63	Prologis	Real Estate	0.34
64	S&P Global	Financials	0.34
65	Caterpillar	Industrials	0.32
66	IBM	Info Tech	0.32
67	Boeing	Industrials	0.32
68	Elevance Health	Health Care	0.32
69	Morgan Stanley	Financials	0.32
70	Goldman Sachs	Financials	0.32
71	General Electric	Industrials	0.32
72	Intuitive Surgical	Health Care	0.31
73	Mondelez International	Consumer Staples	0.31
74	Lockheed Martin	Industrials	0.30
75	Deere & Company	Industrials	0.30
76	Booking Holdings	Consumer Discretionary	0.29
77	Gilead Sciences	Health Care	0.29
78	Applied Materials	Info Tech	0.28
79	BlackRock	Financials	0.28
80	Stryker	Health Care	0.28
81	Analog Devices	Info Tech	0.27
82	American Tower	Real Estate	0.26
83	American Express	Financials	0.26
84	CVS	Health Care	0.26
85	TJX	Consumer Discretionary	0.26
86	Citigroup	Financials	0.26
87	Vertex Pharmaceuticals	Health Care	0.26
88	Automatic Data Processing	Industrials	0.26
89	Marsh & McLennan	Financials	0.26
90	ServiceNow	Info Tech	0.26
91	Zoetis	Health Care	0.25
92	T-Mobile U.S.	Communication Services	0.25
93	PayPal	Financials	0.25
94	Altria Group	Consumer Staples	0.24
95	Chubb	Financials	0.24
96	Regeneron Pharmaceuticals	Health Care	0.24
97	Southern Company	Utilities	0.24
98	Cigna	Health Care	0.23
99	Duke Energy	Utilities	0.22
100	Fiserv	Financials	0.22

Over the last decade, big tech names have dominated the index.

The tech sector makes up over 26%, with Apple, Microsoft, and Nvidia as the top S&P 500 companies by market capitalization. Despite interest rates climbing at warp speed, a select number of big tech names have maintained, or even expanded their influence on the index over the last year.

In many cases, investor demand for AI-related stocks has fueled these increases.

Amazon is the third-largest company in the index. While shares tumbled in 2022 amid slowing sales, they have since rebounded by about 46% this year. Like Amazon, consumer discretionary firm Tesla has seen a strong reversal as the index’s 10th biggest stock by weight.

In the financial sector, Berkshire Hathaway has the highest weight (1.7%) while UnitedHealth Group (1.3%) is the top in health care. The health conglomerate even towers above JP Morgan Chase, the biggest bank in America.

S&P 500 Sectors and the Market Cycle

Below, we show the 11 sectors in the S&P 500, organized by weight and their typical performance over the business cycle:

Cyclical: Rise and fall with the market cycle, often correlated to expansions or contractions
Defensive: Typically are negatively correlated to the market cycle, with more stable earnings and dividends

Sector	Weight	Type
Information Technology	26.1%	Cyclical
Health Care	14.5%	Defensive
Financials	12.9%	Cyclical
Consumer Discretionary	9.9%	Cyclical
Industrials	8.6%	Cyclical
Communication Services	8.2%	Cyclical
Consumer Staples	7.4%	Defensive
Energy	4.5%	Defensive
Utilities	2.9%	Defensive
Materials	2.6%	Cyclical
Real Estate	2.5%	Cyclical

Numbers may not total 100 due to rounding.

Information technology, health care, and financials have the highest share in the S&P 500. Together, they cover over half the index.

S&P 500 Companies: Mixed Signals in 2023

In many ways there are two major themes playing out this year so far for U.S. equities, which is the best-performing asset class year to date.

First is that seven big tech companies—Apple, Microsoft, Nvidia, Google, Tesla, Meta, and Amazon—are driving virtually all of the index’s gains. These companies have seen double or triple-digit returns this year so far. As of May 31, tech sector ETFs saw $8 billion in inflows to date, the highest across any sector.

Secondly, the energy and health care sectors have seen the highest outflows, at $9 billion and $4 billion, respectively.

Even with interest rates hitting 15-year highs, extreme greed is in the market, based on the Fear and Greed Index. This may signal higher risk in the S&P 500, since a hit to these few companies with high weightings could significantly affect the broader index.

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Markets in a Minute

The Top 5 Reasons Clients Fire a Financial Advisor

Firing an advisor is often driven by more than cost and performance factors. Here are the top reasons clients ‘break up’ with their advisors.

Published

2 weeks ago

April 15, 2024

Dorothy Neufeld

This circle graphic shows the top reasons for firing a financial advisor.

The Top 5 Reasons Clients Fire a Financial Advisor

What drives investors to fire a financial advisor?

From saving for a down payment to planning for retirement, clients turn to advisors to guide them through life’s complex financial decisions. However, many of the key reasons for firing a financial advisor stem from emotional factors, and go beyond purely financial motivations.

We partnered with Morningstar to show the top reasons clients fire an advisor to provide insight on what’s driving investor behavior.

What Drives Firing Decisions?

Here are the top reasons clients terminated their advisor, based on a survey of 184 respondents:

Reason for Firing	% of Respondents Citing This Reason	Type of Motivation
Quality of financial advice and services	32%	Emotion-based reason
Quality of relationship	21%	Emotion-based reason
Cost of services	17%	Financial-based reason
Return performance	11%	Financial-based reason
Comfort handling financial issues on their own	10%	Emotion-based reason

Numbers may not total 100 due to rounding. Respondents could select more than one answer.

While firing an advisor is rare, many of the primary drivers behind firing decisions are also emotionally driven.

Often, advisors were fired due to the quality of the relationship. In many cases, this was due to an advisor not dedicating enough time to fully grasp their personal financial goals. Additionally, wealthier, and more financially literate clients are more likely to fire their advisors—highlighting the importance of understanding the client.

Key Takeaways

Given these driving factors, here are five ways that advisors can build a lasting relationship through recognizing their clients’ emotional needs:

Understand your clients’ deeper goals
Reach out proactively
Act as a financial coach
Keep clients updated
Conduct goal-setting exercises on a regular basis

By communicating their value and setting expectations early, advisors can help prevent setbacks in their practice by adeptly recognizing the emotional motivators of their clients.

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Markets in a Minute

The Top 5 Reasons Clients Hire a Financial Advisor

Here are the most common drivers for hiring a financial advisor, revealing that investor motivations go beyond just financial factors.

Published

2 weeks ago

April 15, 2024

Dorothy Neufeld

This circle graphic shows the top reasons for hiring a financial advisor.

The Top 5 Reasons Clients Hire a Financial Advisor

What drives investors to hire a financial advisor?

From saving for a down payment to planning for retirement, clients turn to advisors to guide them through life’s complex financial decisions. However, many of the key reasons for hiring a financial advisor stem from emotional factors, and go beyond purely financial motivations.

We partnered with Morningstar to show the top reasons clients hire a financial advisor to provide insight on what’s driving investor behavior.

What Drives Hiring Decisions?

Here are the most common reasons for hiring an advisor, based on a survey of 312 respondents.

Reason for Hiring	% of Respondents Citing This Reason	Type of Motivation
Specific goals or needs	32%	Financial-based reason
Discomfort handling finances	32%	Emotion-based reason
Behavioral coaching	17%	Emotion-based reason
Recommended by family or friends	12%	Emotion-based reason
Quality of relationship	10%	Emotion-based reason

Numbers may not total 100 due to rounding. Respondents could select more than one answer.

While financial factors played an important role in hiring decisions, emotional reasons made up the largest share of total responses.

This illustrates that clients place a high degree of importance on reaching specific goals or needs, and how an advisor communicates with them. Furthermore, clients seek out advisors for behavioral coaching to help them make informed decisions while staying the course.

Key Takeaways

With this in mind, here are five ways advisors can provide value to their clients and grow their practice:

Address clients’ emotional needs early on
Demonstrate how you can offer support
Use ordinary language
Provide education to help clients stay on track
Acknowledge that these are issues we all face

By addressing emotional factors, advisors can more effectively help clients’ navigate intricate financial decisions and avoid common behavioral mistakes.

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