Ep 352: Banks and miners: Where to from here for the Australian stock market?

New Report: The Evidence-Based Approach to Investing in Property & Shares: download here.Read full blog here.In this episode, Stuart dives into the heart of the Australian share market, breaking down how a small group of stocks—the big banks and major miners—are dominating the ASX200. In 2024, just three banks (CBA, Westpac, NAB) delivered more than half the index’s gains, while BHP and Rio Tinto dragged returns down.Stuart questions whether this concentration risk is sustainable. With CBA trading at historically high valuations and 14 out of 15 brokers rating it a 'sell', it may be time for investors to take profits. Meanwhile, Macquarie Bank stands out with solid long-term growth and attractive valuation.On the mining side, copper is booming, offering hope for BHP and Rio despite iron ore headwinds and China uncertainty.Stuart also explores alternative ETF strategies like equal-weight and ex-top-20 indices, which reduce exposure to overpriced large caps and give broader diversification.If you’re concerned about valuation risk, market concentration, and how to position your portfolio for the future, this episode is essential listening. Stuart offers practical, data-backed insights to help you rethink how you're investing in the ASX.Our most popular free guides:Over the years we've written hundreds of articles. These three bring our best thinking together on the topics that matter most right now: choosing a super fund, debt recycling, and navigating the new tax changes.Download them hereMy new book, Wealth by Design, is out now:Buy online or in bookstores. The ebook is available now, audiobook coming soon.Got a question for the podcast?Email us at [email protected] in working with our team?Discover how we can work togetherSubscribe to my weekly blog:Stay connected hereImportantThis podcast provides general information about finance, tax and credit. It doesn't take into account your specific objectives, financial situation or needs, so you need to assess whether it's relevant to your circumstances before acting on it. If you're not sure, speak to a licensed, trustworthy professional.