What is the average return on the S&P 500 index fund? (2024)

What is the average return on the S&P 500 index fund?

From 1965 through 2021, the S&P 500 delivered 10.5% annualized total returns for investors. In individual years, returns have varied from a low of negative 37% in 2008 to a high of 37.6% in 1995, but over time, the clear direction has been up. That's a 30,209% total return over a 46-year period.

What is the average return of the S&P 500 index fund?

The average stock market return is about 10% per year, as measured by the S&P 500 index, but that 10% average rate is reduced by inflation. Investors can expect to lose purchasing power of 2% to 3% every year due to inflation. » Learn more about purchasing power with NerdWallet's inflation calculator.

What if I invested $1000 in S&P 500 10 years ago?

According to our calculations, a $1000 investment made in February 2014 would be worth $5,971.20, or a gain of 497.12%, as of February 5, 2024, and this return excludes dividends but includes price increases. Compare this to the S&P 500's rally of 178.17% and gold's return of 55.50% over the same time frame.

What is the total return of the S&P 500?

Basic Info. S&P 500 Annual Total Return is at 26.29%, compared to -18.11% last year.

What if I invested $500 a month in S&P 500?

For example, if you are able to commit to investing $500 a month in an S&P 500 index fund like the Vanguard 500 Fund (NYSEMKT: VOO), you'll eventually have $1 million, and that includes paying the 0.03% expense ratio in the ETF, meaning you'll pay 3 cents each year for every $100 you have invested in the index fund.

What is the S&P 500 monthly return?

S&P 500 Monthly Return is at 3.10%, compared to 5.17% last month and 3.51% last year. This is higher than the long term average of 0.56%. The S&P 500 Monthly Return is the investment return received each month, excluding dividends, when holding the S&P 500 index.

What is the average return of the S&P 500 last 30 years?

Looking at the S&P 500 for the years 1993 to mid-2023, the average stock market return for the last 30 years is 9.90% (7.22% when adjusted for inflation). Some of this success can be attributed to the dot-com boom in the late 1990s (before the bust), which resulted in high return rates for five consecutive years.

What will $1 000 be worth in 20 years?

Why not just invest in S&P 500?

The one time it's okay to choose a single investment

That's because your investment gives you access to the broad stock market. Meanwhile, if you only invest in S&P 500 ETFs, you won't beat the broad market. Rather, you can expect your portfolio's performance to be in line with that of the broad market.

How much would $1000 invested in the S&P 500 in 1980 be worth today?

In 1980, had you invested a mere $1,000 in what went on to become the top-performing stock of S&P 500, then you would be sitting on a cool $1.2 million today.

What is the 10 year return of the S&P 500?

Basic Info. S&P 500 10 Year Return is at 180.6%, compared to 174.1% last month and 161.9% last year. This is higher than the long term average of 114.4%.

What is the average return of the S&P 500 last 3 years?

Basic Info. S&P 500 3 Year Return is at 32.26%, compared to 33.72% last month and 58.99% last year.

Is S and P 500 a good investment?

Choosing your investments

Investing in an S&P 500 fund can instantly diversify your portfolio and is generally considered less risky. S&P 500 index funds or ETFs will track the performance of the S&P 500, which means when the S&P 500 does well, your investment will, too. (The opposite is also true, of course.)

How long does it take to double your money in the S&P 500?

We saw in the previous section that investing in the S&P 500 has historically allowed investors to double their money about every six or seven years.

How often does S&P 500 pay out?

The S&P 500 is an index, so it does not pay dividends; however, there are mutual funds and exchange-traded funds (ETFs) that track the index, which you can invest in. If the companies in these funds pay dividends, you'll receive yours based on how many shares of the funds you hold.

How many years it will take you to double your money if you invest $500 at an interest rate of 8% per year?

For example, if an investment scheme promises an 8% annual compounded rate of return, it will take approximately nine years (72 / 8 = 9) to double the invested money.

What is the return on the S&P 500 for 12 months?

S&P 500 12 Month Total Return is at 29.88%, compared to 30.45% last month and -7.73% last year.

How much dividend does S&P 500 pay?

S&P 500 Dividend Yield is at 1.35%, compared to 1.47% last month and 1.66% last year. This is lower than the long term average of 1.84%.

What is the 5 year return of the S&P 500?

S&P 500 5 Year Return is at 85.38%, compared to 83.02% last month and 55.60% last year. This is higher than the long term average of 45.20%.

What is the 20 year return for S&P 500?

Key Points. The S&P 500 is commonly seen as a benchmark for the U.S. stock market, and the index returned 345% over the last two decades. The Dow Jones Industrial Average is a popular benchmark for blue chip stocks, and the index returned 268% over the same period.

What is the average return of the S&P 500 over the last 40 years?

40 Years (1982 – 2022): 11.6% annual return. 30 Years (1992 – 2022): 9.64% annual return. 20 Years (2002 – 2022): 8.14% annual return. 10 Years (2012 – 2022): 12.74% annual return.

How long to double money at 7 percent?

Can I live off interest on a million dollars?

Once you have $1 million in assets, you can look seriously at living entirely off the returns of a portfolio. After all, the S&P 500 alone averages 10% returns per year. Setting aside taxes and down-year investment portfolio management, a $1 million index fund could provide $100,000 annually.

How much will $100 be worth in 10 years?

How much money can I make if I invest $1000 a month?

Investing $1,000 a month may seem like a big task, as it's a total of $12,000 per year. But the average full-time worker earned $59,540 in the last quarter of 2022.