Mexican Airport Operator Stocks Have Performed Well This Year

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The travel industry is one of the big beneficiaries of the revenge spending since consumers started traveling again from last year. Within the industry, many airlines have earned record revenues and profit for the first time since the pandemic. For instance, US-based carriers reported record Q4 earnings recently. Soaring travel to tourist destinations and also rise in business travel particularly between US and Mexico have helped the growth of Mexican airport operators.

The three US-listed Mexican airport operators have performed very well so far this year. The tickers are:

Grupo Aeroportuario del Pacifico SAB de CV (PAC)

Grupo Aeroportuario del Sureste SAB de CV (ASR)

Grupo Aeroportuario del Centro Norte SAB de CV(OMAB)

The chart below shows the year-to-date return of these stocks:

Click to enlarge

The following chart shows the 5-year returns:

Source: Google Finance

Disclosure: No positions

The Vanguard 2023 Index Chart: UK Edition

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British equities have performed poorly in recent years since the Brexit saga began. When compared to US peers, British stocks have earned poor returns for 1993 to 2023 as shown in The Vanguard 2023 Index Chart below. Since 1993, US stocks would have earned an annual return of 10.49% relative to British stocks which had an annual return of just 7.39%. Even European higher returns than their British counterparts.

Click to enlarge

Source: Vanguard UK

Related ETF:

  • iShares MSCI UK ETF (EWU)

Disclosure: No Positions

Historical Annual Returns of the Australian Stock Market From 1980 Thru 2022

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The Australian economy is a resource-based economy similar to Canada. Exports of commodities such as coal, iron ore, etc. are critical for the economy. In fact, natural resources account for 68% of exports with China being the top export market. With that said, the Australian equity market has performed relatively well in recent years. The market declined by 40% during the Global Financial Crisis (GFC) of 2008. But since then it has had a down year in only 3 years. In 2022, the market as represented by the All Ordinaries Accumulation Index fell by 3% which is not bad.

Overall from 1980 to last year, the number of positive return years is higher than the number of negative years as shown in the chart below:

Click to enlarge

Note: The returns shown above are based on local currency and not US dollars. The index used is the All Ordinaries Accumulation Index which includes dividends reinvested.

Source: Market Index

Related ETF:

  •  iShares MSCI Australia Index Fund (EWA)

Disclosure: No Positions

S&P 500 Real Returns Since 1913: Chart

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The Real Return of the S&P 500 Index which accounts for inflation over the last century is shown in the chart below. During periods of high inflation (red zones) such as from 1929 to 1958 it took over a decade to move higher than previous highs. Despite inflation, a $100 investment in 1913 would have grown to around $1,500 in 2013 – a real return of 1,400%. This shows that equities are the best asset class to beat inflation.

High inflation times are also the best times to invest. For instance, a $100 investment in the index in 1950 would have returned 2,208% by 2013.

Click to enlarge

Source: The danger of buybacks, US bankruptcies, and whistleblowers, Market Index

Related ETFs:

  1. SPDR S&P 500 ETF (SPY)
  2. iShares Core S&P 500 ETF (IVV)
  3. Vanguard S&P 500 ETF (VOO)
  4. SPDR Portfolio S&P 500 ETF (SPLG)

The Complete List of Constituents of the S&P 500 Index can be found here.

Disclosure: No positions