- With the rising interest rate-driven rotation out of the technology sector, the SCHX Large-Cap ETF is down ~9% YTD, which is ~1% worse than the S&P500.
- However, I'm not in the camp that believes a rise in interest rates to still-historically low levels means doom for the large-cap tech sector.
- That's because these leading companies have strong global brands, size, scale, and many are sitting on a mountain of cash and don't need to borrow money.
- Meantime, 20:1 splits have been announced by both Amazon and Google. That will likely be a tailwind for the large-cap sector going forward.
For further details see:
Schwab Large-Cap ETF SCHX: Size, Scale, Splits, & Cash Rich