Warren Buffett Has Offered the Same Investing Advice for Decades. History Says He's Never Been Wrong (So Far).

Warren Buffett has consistently recommended that average investors buy low-cost S&P 500 index funds, a strategy that has historically outperformed active managers. The S&P 500 has delivered 10% average annualized returns since 1957 and 15% yearly returns over the past decade. However, current valuations with a CAPE ratio of 41.8 and heavy concentration in technology stocks (37% of the index) present potential risks for future performance.