Today's chart of the day from Deutsche Bank's Jim Reid, shows the annual distribution of S&P 500 (and equivalent) total returns over the last 100 years. While the German bank has data back to 1800 (clearly not for the S&P but "equivalent" market indicators), Reid says that starting the data in 1925 feels more representative of the era we live in today.
So here are some notable stats over the last 100 years.
- 26% of years have seen negative returns.
- An impressive 39% of years have seen >20% returns. We’ve just seen two back-to-back. Is a third possible?
- Only 14% of years have seen returns between 0-10%.
- More years (21%) have seen returns between 10-20% than 0-10%.
