Some graphs that will surprise you – a wealth of common sense

You can always win any argument that you want when it comes to changing the markets by changing your start and end dates.

You can really drive your point home by starting from the peak of a bullmarkt or the bottom of an annoying crash.

It seems that it is not even possible to carry out a skill from the hand with the current cycle. US Large Cap Growth Stocks – especially technical shares – have been doing everything better than everything for years.

And now that we may set ourselves up for an AI bubble, Tech shares have the feeling that they are destined to maintain it.

However, I have some performance graphs about different time horizons that may surprise you.

Not this:

Investment is not necessarily dead, but it has only come to life so far in the last 30 years.

You may surprise this: the value of a small Cap-Zowel the US as the Internationale Hebben in the last 5 years better performed!

The international piece is the one who is probably the most shocking here. Who knew?

Small caps have also been left for death.

But look at the performance of large caps, middle caps and small caps from the soil in the mini-bear market of the trade was in April:

Small caps perform better than from the lows, while the middle caps keep up with the S&P 500 more or less.

This is far too short a time frame to draw conclusions, but it is interesting to come up with some options here. The technical colosses spend an amazing amount in Capex to make AI happen.

Let’s say that all AI productivity gain will flourish. Perhaps the small and medium-sized companies will benefit without having to spend almost as much on the Mega Cap shares?

It is worth considering.

Here there is one that hardly seems like really:

The Nasdaq 100 has only exacerbated 8% per year this century.

That does not seem to calculate, given that the QS has returned almost 20% per year since the beginning of 2013.

So where does the 8% grade come from?

That’s because the total return for the Nasdaq 100 of 2000-2012 -28.7% or an annual return of -2.3% was. It was a lost decade and something else. This terrible period included a gigantic drawing of 83% after eradicating the DOT-Com bubble.

Starting from the peak of the DOT-Com bubble, it seems almost not fair, but combining a solid bear market with a huge bullmarkt tends to lead to average results.

Here is a 24th -century graph that you could surprise:

Gold has been performing handy better since 2000 than the S&P 500.

To be honest, gold came from a two-decades bear market, while the S&P 500 came from a bull market of two decades. Timing, as they say, is everything.

Here is someone who would have predicted no one to come in this year:

Almost every other country with a decent economy will perform better than the US stock market in 2025.

The good news is that there are no investors who timize these things perfectly. Nobody invests at the bottom or comes from the top every time.

Nobody consistently chooses the best activa classes or avoids the worst.

That is an impossible strategy.

Managing risk requires a combination of diversification or an iron wants to hold on to the chosen strategy that comes or high water.

I prefer diversification, warts and such.

Continue reading:
How you can win any argument about the stock market