1. From 3/9/09-2/10/15 (current bull), all four of the technology-related indices featured in the chart outperformed the S&P 500.
2. The average annualized total returns for the period were as follows: ISE Cloud Computing (+35.44%); Dow Jones Internet Composite (+31.36%); Philadelphia Semiconductor (+26.23%); S&P 500 Information Technology (+24.95%); and S&P 500 (+23.32%), according to Bloomberg. 
3. The so-called "new tech" (cloud computing) subsector posted the best showing since the bull began, followed by the Internet subsector, which happened to be the last major "new tech" wave back in the mid-1990s.
4. As of 2/12/15, technology stocks accounted for 19.5% of the S&P 500, the largest weighting of the 10 major sectors that comprise the index, according to  S&P Dow Jones Indices.
5. In 2014, investors funneled a net $4.1 billion into Technology mutual funds and ETFs, according to Morningstar.
6. There are many vehicles available to investors to participate in the ongoing technological revolution. While some subsectors may be more richly valued on a P/E basis, the broader technology sector does not look expensive using 2015 estimates, in our opinion.

The chart and performance data referenced are for illustrative purposes only and not indicative of any actual investment. The index performance data excludes the effects of taxes and brokerage commissions or other expenses incurred when investing. Investors cannot invest directly in an index. There can be no assurance that any of the projections cited will occur. The S&P 500 Index is a capitalization-weighted index comprised of 500 stocks used to measure large-cap U.S. stock market performance. The ISE Cloud Computing Index is a modified equal-dollar weighted index designed to track the performance of companies actively involved in the cloud computing industry. The Dow Jones Internet Composite Index is a modified capitalization-weighted index designed to track companies involved in Internet-related activities. The Philadelphia Semiconductor Index is a modified capitalization-weighted index comprised of companies that are involved in the design, distribution, manufacturing, and sale of semiconductors. The S&P 500 Information Technology Index is capitalization-weighted and comprised of S&P 500 constituents representing the technology sector.

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