Some fund managers find they don’t own enough Apple stock

According to Reuters, the “massive rally” in Apple’s shares is forcing some fund managers to revisit a dilemma: they may not own enough of the stock.

Apple’s share price has soared 49% so far this year, ballooning its weight in stock indexes to record levels and pushing its market capitalization over $3 trillion. The company’s weighting in the S&P 500 has swelled to 7.6%, the biggest of any one stock in the history of the benchmark index, according to S&P Dow Jones Indices.

Reuters says this means moves in Apple’s shares have an outsized influence on index performance. If shares of Apple keep rallying, that could hurt the results of active fund managers, who strive to beat indexes such as the S&P 500 or Russell 1000, the article adds. 

Dennis Sellers
the authorDennis Sellers
Dennis Sellers is the editor/publisher of Apple World Today. He’s been an “Apple journalist” since 1995 (starting with the first big Apple news site, MacCentral). He loves to read, run, play sports, and watch movies.