If you had allocated $100 to one of the major stock markets 30 years ago, what would it be worth today?
I first saw this chart today on Zerohedge, but the original article is by Jeff Desjardins on Visual Capitalist.
It’s quite fascinating to see seven major stock markets compared on the same scale in this way:
And the final value of a $100 investment in each market after 30 years:
United States: $1,001
Hong Kong: $924
Germany: $920
Canada: $544
France: $368
United Kingdom: $338
Japan: $101
Despite the obvious takeaways that USA / HK / Germany were great markets to be invested in, while 1990 was a terrible time to only buy Japan, we should probably note the following when allocating to stocks:
- Stay invested – despite some severe bumps in the road, stocks generally increase in value over time
- Diversify – we don’t know which market will be best for the next 30 years so spread your money around
- Be patient – achieving big numbers takes time
Disclaimer: This should go without saying, but the information contained in this blog is not investment advice, or an incentive to invest, and should not be considered as such. This is for information only.
I wonder why Japan doesn’t shock me…
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