Mag7's amazing growth

I saw some interesting research that compares the Mag7 to the remaining 493 companies in the S&P 500 over the last 10 years. In case you needed reminding, the Mag7 consists of Google, Apple, Amazon, Nvidia, Tesla, Meta and Microsoft. All 7 have been part of the Vestact recommended portfolio for many years.

The return on capital (ROC) invested by the Mag7 has been 22.5% since 2015. The S&P 493 has achieved 6.2% over that 10-year period. Return on equity (ROE) for Mag7 was 29.7%, and the S&P 493 achieved 13.2%. Free cash flow (FCF) margins for the Mag7 have been 16.4%, the S&P 493 was 8.8%.

The Mag7 stocks have grown in size because, as companies, they have been able to achieve much better results than the rest of the stocks in the index. It's as simple