4 ms·

This is a misleading story. Yes, the stock market rose significantly in 2019. But it had also dipped severely at the end of 2018. When you account for that dip,

This is a misleading story. Yes, the stock market rose significantly in 2019. But it had also dipped severely at the end of 2018. When you account for that dip, stock performance has been average. Example: On Dec 21 2018 SPY (S&P 500 ETF) was trading for $240.70. Today it is trading for $323.07, which is a huge 34% jump. But on Sep 21 2018 it was trading for $291.99. Compared to that high, the increase is a mediocre 10.6%

AznHisoka 7y ago
10.6 is mediocre? I would take those returns every single year.
- petilon 7y ago
  Then invest in the stock market. Even accounting for the dotcom crash and the 2008 crash the stock market has gone up around 10% every year when you average it out.
  - AznHisoka 7y ago
    It has averaged close to 5% from January 2000 to now...
    - icedchai 7y ago
      The 2000's were a bad decade for investing. You had the dot com crash, followed by 9/11, and then the financial crisis. I "saved" a ton during that time, but the returns were mediocre. The 80's, 90's and most of the 2010's were much, much better for market performance, closer to the average of 10%. See https://www.macrotrends.net/2526/sp-500-historical-annual-returns https://www.macrotrends.net/2526/sp-500-historical-annual-re...
      - AznHisoka 7y ago
        That’s true. unfortunately you can’t cherry pick with foresight what decades you want to skip when investing.
- DennisP 7y ago
  They'd be fantastic if you could get them every single year. Given the wide variance in annual returns, they're nothing special. https://www.macrotrends.net/2526/sp-500-historical-annual-returns https://www.macrotrends.net/2526/sp-500-historical-annual-re...
paganel 7y ago
Not to dispute the numbers, just the interpretation, as in I think a low-double digit return in ~16 months is still something to write home about, especially considering that as recently as August 2019 there were bonds worth $17 trillion returning bellow 0 numbers (that amount is now down to $12 or $13 trillion if I’m not mistaken, but it’s still a lot). Which is to say that the market is crazy and that past ways of looking at things no longer apply.

AznHisoka 7y ago

10.6 is mediocre? I would take those returns every single year.

petilon 7y ago
Then invest in the stock market. Even accounting for the dotcom crash and the 2008 crash the stock market has gone up around 10% every year when you average it out.
- AznHisoka 7y ago
  It has averaged close to 5% from January 2000 to now...
  - icedchai 7y ago
    The 2000's were a bad decade for investing. You had the dot com crash, followed by 9/11, and then the financial crisis. I "saved" a ton during that time, but the returns were mediocre. The 80's, 90's and most of the 2010's were much, much better for market performance, closer to the average of 10%. See https://www.macrotrends.net/2526/sp-500-historical-annual-returns https://www.macrotrends.net/2526/sp-500-historical-annual-re...
    - AznHisoka 7y ago
      That’s true. unfortunately you can’t cherry pick with foresight what decades you want to skip when investing.
DennisP 7y ago
They'd be fantastic if you could get them every single year. Given the wide variance in annual returns, they're nothing special. https://www.macrotrends.net/2526/sp-500-historical-annual-returns https://www.macrotrends.net/2526/sp-500-historical-annual-re...

paganel 7y ago

Not to dispute the numbers, just the interpretation, as in I think a low-double digit return in ~16 months is still something to write home about, especially considering that as recently as August 2019 there were bonds worth $17 trillion returning bellow 0 numbers (that amount is now down to $12 or $13 trillion if I’m not mistaken, but it’s still a lot). Which is to say that the market is crazy and that past ways of looking at things no longer apply.