In this episode of “What’s the Risk?”, we explore the historical performance of the S&P 500 Index, tracing its journey back to 1926. This widely admired index attracts investors globally, yet many lack a comprehensive view of its long-term data and the factors driving its impressive double-digit returns over nearly a century. We delve into significant market downturns and robust growth periods, reminding viewers that while challenges arise, patience has historically been rewarded with market recoveries and solid returns.
The episode highlights the volatility inherent in the index, balancing periods of expansion with notable declines, offering a realistic perspective on the risks and rewards of long-term investment. This analysis underscores the importance of resilience, showing how the S&P 500 has consistently bounced back over time.
For investors, familiar ETFs tracking this index include BlackRock’s IVV, available in both Australia and the US, alongside Vanguard’s VOO and State Street’s SPY in the US. These funds provide accessible ways to engage with the index’s performance. By examining this rich history, we aim to equip viewers with a deeper understanding of the S&P 500’s dynamics, encouraging informed decision-making in their investment strategies.
Watch the full “IVV ETF” video here.
This represents general information only. Before making any financial or investment decisions, I suggest you consult a financial adviser to take into account your personal investment objectives, financial situation and individual needs. Anyone looking to build a portfolio should seek financial advice to find out which strategy is right for them, if you are a high net worth investor looking financial advice then you should consider a high net worth financial adviser, they can help you identify your goals and put in place a reliable strategy to pursue them.
