Scale of 110 trillion! That's right, the S&P 500. Why did top leaders such as Buffett and Duan Yongping once recommend S&P 500 index funds? In order to help my brothers clarify, I have comprehensively sorted out the S&P 500 market data as of April 2026, and summarized its market size, institutional allocation logic, and application value as follows: 1、 Market size and growth performance From the perspective of growth trend, its scale has increased by 2.5 times in the past 10 years, with an annualized compound annual growth rate (CAGR) of about 11.8%, maintaining a steady expansion trend in the long term. At present, the total size of funds (including ETFs, mutual funds, and institutional asset management products) tracking the S&P 500 index worldwide is about $15.5 trillion, equivalent to about RMB 110 trillion, accounting for about 15% of global GDP, making it the largest single index asset pool in the world. 2、 Mainstream tracking products The leading S&P 500 ETFs in the market mainly include: Vanguard VOO: Asset size of approximately $1.45 trillion BlackRock IVV: Asset size of approximately $980 billion State Street SPY: Asset size of approximately $640 billion The above products are the core targets for institutional and individual investors to allocate to the S&P 500 index. 3、 Core configuration subject The main investors of the S&P 500 index fund are global large institutional investors, including: Sovereign wealth funds, such as Singapore's Temasek and Norway's sovereign funds, are often allocated through direct holdings of ETFs or fund portfolios. Pension funds, such as CalPERS in the United States and CPP in Canada, adopt a long-term holding strategy and pursue stable returns. Insurance companies, such as Prudential Insurance and MetLife, match liability management needs and achieve long-term stable appreciation. University endowment funds, such as the Harvard and Yale University endowment funds, are used as allocation tools for long-term growth and inflation resistance. Family Offices: With over 6000 family offices worldwide, wealth inheritance and global diversification are achieved through decentralized deployment of the S&P 500. According to incomplete statistics, institutional investors such as sovereign funds and pension funds hold over 70% of global ETF assets, which is the core driving force behind the continuous growth of the S&P 500 index. 4、 The core logic of institutional configuration The long-term deployment of the S&P 500 by large global institutions is based on the following six advantages: Low cost and high efficiency: The mainstream S&P 500 ETF fee range is about 0% -0.03%, long-term holding can significantly reduce operating costs and amplify compound interest income effects. Diversification of risk: The S&P 500 covers 500 leading companies in various industries in the United States, diversifying individual stocks, industries, and event risks across industries to reduce the impact of single asset volatility. High transparency: Component stocks, weights, and rates are disclosed daily, and the operating rules are open and transparent, making it easy to track and manage, in compliance with regulatory and risk control requirements. Long term steady growth: Since 1957, the annualized yield of the S&P 500 has been around 10.2%, crossing multiple economic cycles and demonstrating strong long-term compounding ability. Adequate liquidity: Mainstream ETFs have a high daily trading volume, and the impact of large fund inflows and outflows on market prices is relatively small, which can meet the liquidity needs of institutional funds. Matching long-term strategies: highly aligned with the preservation and appreciation goals of long-term funds such as pension funds and sovereign funds, and adapted to long-term asset allocation strategies. 5、 Configuration positioning and suggestions In practical allocation, the S&P 500 can be used as the core underlying asset of the portfolio, paired with high growth indices (such as the Nasdaq 100) as satellite assets, to balance risk and return through a core satellite allocation strategy, helping to achieve long-term asset appreciation through cycles. The core positioning of the S&P 500 index fund is the cornerstone of global asset allocation portfolios, representing the overall strength of the US economy and being the largest and most balanced core asset in the market - so brothers understand.