Who needs amusement parks when you have the stock market? Investors were taken on a roller coaster ride in 2020 due to the pandemic. After the benchmark S&P 500 lost 34% of its value in roughly a month, it spent the following nine months rocketing higher. The 16% gain the S&P 500 registered for 2020 nearly doubled its average annual return over the last 40 years. Not too bad considering all that transpired.
But there was one group of stocks that absolutely crushed the broader market in 2020, and it’s been doing so on a regular basis for the past decade: the FAANG stocks.