Here is how to outperform the S&P 500 based on historical returns

Here is how to outperform the S&P 500 based on historical returns

The S&P 500 has been a key index for many fund managers to beat; however, most money managers have a hard time beating the index because of over-trading inside the funds.

QQQ (NASDAQ) has historically been more volatile than the S&P 500. If you can tolerate the volatility, then based on historical returns, it may continue to outperform SPY. Also, given the rise of AI, I have a feeling that QQQ will see a nice boost in performance in the next ten years.

Of course, the SPY is less volatile and should absolutely be considered if you are risk-averse and would like more diversification, especially in different sectors of the economy.

If you have any questions, please put them in the comments. Happy to help! :)