The Balance Sheets of Central Bank of major economies have been increasing for many years now as a result of the many Quantitative Easing(QE) programs implements. The following chart shows the Central Bank Balance Sheets as a Percentage of GDP For Major Economies:
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Source: The Long Unwinding Road—Navigating Regime Shift, T.Rowe Price
The Periodic Table of Total Returns for Asset Classes is hard to find on the internet. The regular Periodic Table by Callan and others based on price returns is widely available online. Since total return is more important just than price returns for long-term investors the following chart is especially fascinating for analyzing returns.
The Periodic Table of Total Returns for various Asset Classes from 2000 to 2017 is shown in the chart below:
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Source: Matasii
For example, in 2016 the S&P price return was 9.84%. However with dividends included the total return was 12%. Similarly the MSCI Emerging index soared by about 50% based on total returns last year.
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Intra-year drawdowns in the S&P 500 are common in the S&P 500 or any other index. The same can be said of any individual stock as well. Though S&P has had intra-year declines of an average of 13.4% since 1948 the annual price returns have been positive in 51 of the past 70 years.
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Source: Capital Group
The key takeaway for investors is that long-term success in equity investing involves being patient and not getting worried everytime the S&P 500 falls in any year.
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Mercer publishes The Periodic Table Of Investment Returns for New Zealand each year.Similar to the Callan Periodic Table, this chart offers a wealth of information from a New Zealand and Australian perspective. For example, the 2017 edition shows that NZ stocks (light blue color) earned nearly 24% compared to 18% for Aussie equities. Australian and NZ investors can use the chart below to analyze and educate themselves on the importance of diversification and other global investors may also find the chart useful in order to evaluate the returns of NZ and Aussie stocks relative to other assets.
The Periodic Table Of Investment Returns From 2008 To 2017 (New Zealand Edition):
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Source: Mercer NZ
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I came across the following chart that shows the annual performance of gold against the major assets classes of US and UK from 1978 to 2017. Similar to equities gold has performed well in some years and not so well in others. Gold tend to soar during periods of extreme bear markets for risky assets such as stocks.
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Note: All returns are based on US dollars
Source: BullionVault
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