I had dinner with a family friend on Sunday night who graduated from Georgia Tech. He mentioned to me that his alma mater now has 41 – – 41!! – – Diversity Equity and Inclusion officers. That’s quite a staff! I would suggest a few of them should be deployed to the stock market, because the inequality there is absolutely shameful. That is to say, if you divide the equally-weighted S&P 500 by the “normal” S&P 500 (which massively, massively over-weights the mega-cap stocks) you can see just how poorly the true market is doing, in spite of ever-soaring nominal values.
The longer-term version of this ratio tells a similar story. For a while, the market was generally quite healthy, but the past few years have brought profound distortions. With the likes of AAPL approaching $3 trillion, you can understand how powerful one stock can be in a sea of 499 others.
