Chapter 1 reported the performance of selected investment funds as calculated by S&P Global. Here is the update for 2023.
As of December 2023: Percentage of active funds trailing the S&P 500, net of fees:
| Over 1 year | Over 3 years | Over 5 years | Over 10 years |
|---|---|---|---|
| 60.9% | 79.8% | 86.6% | 85.6% |
S&P 500 Total Return, 2023 = 26.29%.
Caution: 47.5% of the S&P 500 return was driven by the Magnificent 7 whose combined return was 73.9%. The index return without these stocks was 13.81%.
Source: S&P Global and S&P Dow Jones Indices.
Other Index Returns, 2023
| 2023 | 5 Years | |
|---|---|---|
| S&P Large Cap | 24.2% | 15.7% |
| S&P Mid Cap | 14.5% | 12.6% |
| Russell 2000 (small stocks) | 15.1% | 10.0% |
For 2024, large-cap funds with holdings dominated by the “Magnificent Seven” comprised 9 out of the top10 in the Wall Street Journal Winner’s Circle.