Hi, I have read that return of the S&P with dividends reinvested is 7, 8, or 9% a year. However that depends on what year you start. I would like to know where I can find the yearly returns and then do a study of every 20 years, year by year. For example: What is the return if I bought the S&P in 1980 and held it until 2000, and then What would it be if I bought it in 1981, 1982, 1983 etc. Thank you.
http://www2.standardandpoors.com/spf/xls/index/MONTHLY.xls this goes back to 1988... i'm sure the rest of the info. is on the site somewhere if you look hard enough, but I wasn't able to locate. Interesting that you mention 1980 as a starting period... try doing the same thing from 1966 through 1982 and you'll find a completely different story.
I dont have Bloomberg to get the data. I pulled this info from Yahoo which excludes dividends but I think my formulas may be wrong. Q12 - I only mentioned 1980 as an example but the reason for my study is that people / authors, always use the best time period for illustrating their point. For example the buy and hold guys quote the best years and the trend follower quote the worst years. I want to see all the data in 20 year time periods to see what it means. If any mathematician can help me get the rate of return formula correct that would be great. Thanks
Ibbotsen in chicago has a book that has monthly data back to 1926 - It cost $120. http://www.ibbotson.com/content/pro...ib_id=IBPR4320024&lcategory=Data Publications