Should You Buy the iShares S&P 500 ETF Before 2026, Even With the Stock Market at an All-Time High?

Core Insights - The S&P 500 index has achieved an average annual return of 10.5% since its inception in 1957, with a projected gain of 18% for 2025, primarily driven by a select group of technology companies [1][7] - The iShares Core S&P 500 ETF (IVV) is a cost-effective way to invest in the S&P 500, mirroring the index's performance by holding the same stocks [2][7] Sector Analysis - The S&P 500 is composed of 500 stocks across 11 economic sectors, with the information technology sector holding a significant weight of 34.5%, featuring major companies like Nvidia, Microsoft, and Apple, which collectively have a market value of $12.2 trillion [4][5] - Other major sectors include: - Financials: 13.44% (notable companies: Berkshire Hathaway, JPMorgan Chase, Visa) - Consumer discretionary: 10.55% (notable companies: Amazon, Tesla, Nike) - Communication services: 10.50% (notable companies: Alphabet, Meta Platforms, Netflix) - Healthcare: 9.52% (notable companies: Eli Lilly, Johnson & Johnson, UnitedHealth Group) - Industrials: 8.18% (notable companies: GE Aerospace, Caterpillar, Boeing) [6] - The remaining sectors are consumer staples, energy, utilities, materials, and real estate, indicating a diversified index despite the current tech-heavy composition [8]