Why do people recommend S&P Index fund more than DOW or NASDAQ

[Lowexpectations]

Originally Posted by FL_Expert

Just now seeing these posts… QQQ is more risky? What was the drawdown during the GFC relative to SPY?

Originally Posted by FL_Expert

I've got to applaud you for providing some supporting data. Two things though:
1.) I generally don't include the tech bubble since it was a very extraordinary period. I'm not explicitly saying it's right or wrong to include it, but I don't think it's representative of what we can expect in the future so I usually omit it for that reason.
2.) My results differed from yours with respect the the drawdown amounts. SPY was down 51.9% vs QQQ 49.4% during the GFC. Covid differed too, SPY at 33.7% and QQQ at 35.1% (though you are right QQQ had a bigger decline that time.)

The risk between them is really pretty close. My point, written poorly originally, was more to the effect that the risk adjusted returns are better for QQQ. QQQ's Sharpe is quite a bit better.

So despite you lack of knowledge and historical reference we are supposed to rely on your data points not only to be accurate but also to magically override decades of documented history? Mkay well new guy to investing that’s simply not how any of this works

[Lowexpectations]

Originally Posted by FL_Expert

Blocked…

This is why I don’t contribute in this forum much despite working in the industry. I’m here to help those willing to learn, not debate with people unwilling to even be respectful.

It’s shocking to learn you work in the industry given you admired lack of knowledge. QQQ has more risk and volatility than spy and has. The fact it’s surprised you and you work in the business is a concern for the rest of us in the business. I’m not sure what help you believed you were providing but in terms of a risk/vol conversation you were off base and your personal reference however accurate or not isn’t relevant to override history and facts for investors





What’s nasty about the response? Nothing at all. Pointing on the poster’s singular personal reference with no verifiable data is irrelevant and not reliable vs hundreds of thousands of verifiable data points isn’t nasty, it’s reality