Equal Sector Strategy Reduces Tech Concentration Risk

Information technology represented 34.4% of the S&P 500 at year-end 2025, creating concentration risk for investors with core equity portfolios heavily weighted toward mega-cap technology names, according to insights from SS&C ALPS Advisors. An equal sector investment approach offers a way to reduce this concentration while maintaining access to quality large-cap companies. EQL rebalances quarterly to maintain equal sector weights and carries a 0.27% expense ratio after contractual fee waivers through March ...