4 min read | Published: August 11, 2026
“Don’t put all your eggs in one basket” is timeless wisdom because it recognizes that relying too heavily on a single source not only can leave you vulnerable but also limit your opportunities. The same principle applies to investing: because different market segments lead at different times—relying on a single index or time horizon can lead you to missed growth opportunities elsewhere.
Market leadership shifts. Diversification can help.
While the S&P 500 has delivered strong results in recent years, other parts of the market have led during other periods. Over the long term, history has shown that market leadership can be unpredictable. When a shift occurs, relying on a single index can leave you overexposed in one area, missing out on growth in others.
Diversifying across multiple index strategies, on the other hand, may help:
Reduce concentration risk
- Avoiding the need to rely on a particular market outcome
Broaden growth opportunity
- Because different indices perform differently under changing market conditions, providing exposure to more areas of positive performance
Support long-term accumulation goals
- Helping you participate across changing market environments
Diversification in Action: A Historical Perspective
This chart shows how, over the past 30 years, the NASDAQ-100, S&P 500® index and a 50/50 blended portfolio of both indices responded to changing environments, including periods of historical disruption such as the late 1990's tech boom, 2000-2002 dot-com collapse, 2008 financial crisis, etc.
Throughout this time, the NASDAQ-100® delivered stronger growth than the S&P 500®—but with greater volatility and periods of significant decline. But by blending exposure across both indices, investors historically captured more growth potential than the S&P 500® alone while reducing reliance on a single market segment. The result was a more balanced path that participated in periods of technology-driven growth while maintaining broader market exposure.
Sources: Federal Reserve Bank, Investing.com, Wall Street Journal Market Data. Does not include dividend reinvestment. Index returns are shown for illustrative purposes only. They are not intended to be indicative of the performance of any specific index allocation within a Market Lock or Power Series Annuity. Indexes are unmanaged. You cannot invest directly in them. Past performance does not necessarily indicate future performance.
While this example illustrates the performance of two of the MarketLock index options, your Financial Professional can also demonstrate the impact of including the Russell 2000 and MSCI EAFE indices in various diversification scenarios.
Why consider diversification?
It isn't a matter of if market leadership will shift. It's when. Diversification can help you be ready. Please note diversification does not ensure profit or protect against market loss.
Take the next step. Explore ways to diversify with Corebridge Annuities.
Diversify with MarketLock RILA
A diversified portfolio isn’t just about pursuing growth—it’s also about managing risk. That’s where Corebridge MarketLock®, a Registered Index-Linked Annuity (RILA) can play an important role. By offering the opportunity to participate in market gains while helping lower downside exposure, MarketLock can complement your equity investments and provide greater confidence through changing market conditions.
Learn how MarketLock® can help you diversify across indices, term lengths, and levels of protection to create a strategy that aligns with your goals. Download the brochure.
Diversify with The Power Series of Index Annuities®
Diversification doesn’t have to be complicated.
The Power Series of Index Annuities makes it easy with pre-set allocation options, available in select products, that combine multiple crediting strategies into a single, streamlined approach. Instead of choosing and managing individual strategies yourself, you can select an allocation designed to help diversify your growth opportunities while keeping the process simple.
Learn how an easy, one-step allocation approach can help you build a more balanced strategy with confidence. Download the brochure.
Sound interesting?
For help choosing a diversification strategy that’s right for you, contact your Corebridge financial professional or reach out to us if you don’t have an assigned financial advisor.
Nasdaq® and Nasdaq-100® are registered trademarks of Nasdaq, Inc. (which with its affiliates is referred to as the “Corporations”) and are licensed for use by American General Life Insurance Company. Corebridge MarketLock Annuity (the "Product") has not been passed on by the Corporations as to their legality or suitability. The Product is not issued, endorsed, sold, or promoted by the Corporations. The Corporations make no warranties and bear no liability with respect to the Product.
The S&P 500® Index is a product of S&P Dow Jones Indices LLC (“SPDJI”) and has been licensed for use by American General Life Insurance Company (“AGL”) and affiliates.
Standard & Poor's®, S&P®, and S&P 500® are registered trademarks of Standard & Poor's Financial Services LLC (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by AGL and affiliates. AGL and affiliates' products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P or their respective affiliates, and none of such parties make any representation regarding the advisability of purchasing such product(s) nor do they have any liability for any errors, omissions or interruptions of the S&P 500® Index.
The Russell 2000® is an equity index that tracks the performance of small-cap stocks in the U.S. The index annuity product to which this disclosure applies (the “Product”) has been developed solely by American General Life Insurance Company (“AGL”). The Product is not in any way connected to or sponsored, endorsed, sold or promoted by the London Stock Exchange Group plc and its group undertakings (collectively, the “LSE Group”). FTSE Russell is a trading name of certain of the LSE Group companies. All rights in the Russell 2000® Index (the “Index”) vest in the relevant LSE Group company which owns the Index. Russell,® Russell 2000,® FTSE® Russell,® and FTSE Russell® are trade mark(s) of the relevant LSE Group companies and are used by any other LSE Group company under license. TMX® is a trademark of TSX, Inc. and used by the LSE Group under license. The Index is calculated by or on behalf of FTSE International Limited or its affiliate, agent or partner. The LSE Group does not accept any liability whatsoever to any person arising out of (a) the use of, reliance on or any error in the Index or (b) the purchase of or operation of the Product. The LSE Group makes no claim, prediction, warranty or representation either as to the results to be obtained from the Product or the suitability of the Index for the purpose to which it is being put by AGL.
The MSCI EAFE is an international equity index that tracks the performance of large- and mid-cap stocks from developed markets around the world, excluding the U.S. and Canada. The product referred to herein is not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such product or any index on which such product is based. The contract contains a more detailed description of the limited relationship MSCI has with Licensee and any related product.
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