16 Jan 2018

NZ equities – a perfect 2017

As noted above, the S&P/NZX 50 matched its big brother, the US S&P 500, in producing a perfect year in 2017. Not only did it deliver over 23%, it had 12 positive months. For the S&P 500 this was a first time, but looking back at NZX monthly data back to 1957 we see that the main NZX index actually managed this feat once before in 1963.

The following histogram shows that six negative months a year is the most common, with 4.9 being the average number over the last 61 years. 

It will be interesting to see how long this golden run can last.

For those interested, the full breakdown of monthly returns for the NZX 50 (and its predecessors, NZSE40 etc) including Imputation Credits is shown below.