You Don't Need Nvidia to Beat the S&P 500. These ETFs Prove It. — Barrons.com

What happened

Two exchange-traded funds that do not own Nvidia are outperforming the S&P 500 this year. The Defiance Large Cap ex-Mag 7 ETF is up 16%, and the Goldman Sachs Future Tech Leaders Equity ETF is up 24%, versus nearly 12% for the index. The Defiance fund holds other chip companies, including Micron, Broadcom and AMD.

Confirmed

Global impact / market context

The figures suggest investors have not needed Nvidia shares to gain from this year’s technology rally. The Defiance fund excludes the Magnificent Seven but owns other chipmakers, so artificial-intelligence spending can still support its holdings and returns. This offers investors a way to avoid Nvidia-specific risk while retaining technology exposure.

Analyst inference

The article links the Defiance fund’s performance to a rally in other chip stocks boosted by artificial-intelligence spending. It also reports Nvidia fell 5% Thursday after its CEO decided to step down, and was down more than 10% for the week, highlighting company-specific volatility alongside broader technology gains.

Confirmed

What to watch

1. Compare both funds’ future returns with the S&P 500; the reported gains cover only this year, and the article does not establish that outperformance will continue. Analyst inference
2. Track whether artificial-intelligence spending continues to support chipmakers such as Micron, Broadcom and AMD, which are among the Defiance fund’s top five holdings. Analyst inference
3. Check the Goldman Sachs fund’s holdings and performance details when available; the supplied article text ends before describing its top holdings or explaining its returns. Confirmed

Evidence

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