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Fidelity's tech ETF outperformed S&P 500 with 24.8% gain in 5 months, driven by Nvidia and Apple.

Market News
10 Jun 2026
24/7 Wall Street
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Bullish
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Fidelity MSCI Information Technology Index ETF (FTEC) gained 24.8% in the first five months of 2026, significantly outperforming the Vanguard S&P 500 ETF's 9% return in the same period. This strong performance is mainly due to heavy exposure to Nvidia and Apple, which together make up nearly 45% of the fund. Nvidia's booming data center revenue and Apple's strong iPhone sales and services growth have driven their stock prices up about 47-48% over the past year. While the tech sector's growth is tied to accelerating AI infrastructure spending, future gains depend on sustained demand and margins, with some caution about high valuations and potential demand softening.

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