3 ms·
> The stock market has historically never dropped in value over a 15 year period. Feel free to clarify this, because I don't agree. The records of the FT30 in
by ronaldx 13y ago
> The stock market has historically never dropped in value over a 15 year period.
Feel free to clarify this, because I don't agree.
The records of the FT30 index only go back to 1935[0] - which is not nearly long enough to make reliable predictions about the next 40 years - but still, it dropped in value in the following 15-year periods (before taking into account time value of money):
1936-1951
1959-1974
1994-2009
1995-2010 (records end)
The 20-year periods 1954-1974 and 1989-2009 also.
Still not convinced? The fact that this is a surviving index makes it biased - indices which show a loss of value are less likely to be retained.
[0]http://www.ft.com/ft30 http://www.ft.com/ft30
- dragontamer 13y agoI believe the American Stock Market has never dropped in value over 15 years. Other countries serve as a good counter-example however. Your 2nd point is also a solid counter-argument that I won't belabor much further.