---
id: "entity-sp500"
type: "entity"
entityType: "product"
canonicalName: "S&P 500 Index"
aliases: ["SPX", "S&P 500", "VOO", "Vanguard S&P 500 ETF"]
source_timestamps: ["Reel 12", "Reel 31"]
tags: ["index", "benchmark"]
related: ["concept-cagr-benchmark-cb", "framework-cb-calculation"]
---
# S&P 500 (VOO)

## Profile

The S&P 500 is the standard index of the 500 largest US publicly traded companies, maintained by S&P Dow Jones Indices. It is commonly accessed via low-cost ETFs such as Vanguard's VOO.

## Role in This Vault

The S&P 500 is the **mathematical baseline** for Bowen's entire growth-stock valuation framework. Its historical metrics:

- P/E ≈ **27.4**
- CAGR ≈ **10%**
- Implied payback period ≈ **13.8 years**

These values anchor [[concept-cagr-benchmark-cb]] and the procedure in [[framework-cb-calculation]]. Any individual stock pick must mathematically beat this baseline to justify the opportunity cost of *not* owning the index.

## Strategic Position

The S&P 500 also occupies **Level 2 of [[framework-capital-rotation]]** — broad ETFs are the default parking space during bull markets, before rotation into single names during shocks.