I got into two wrong buses recently and I got off from them.
I also like real assets in balance sheets. Yes I agree we miss good buses but we find new good buses. During covid-19 I found a very good bus after missing few good buses.
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Because you're looking at the con man index, gross with dividends reinvested no fees no tax no actual transactions...
It's virtually impossible that it doesn't go up over time.
Have written extensively about this over the years.
https://milfordasset.com/insights/gr...at-capital-one
Most all other real indexes in the world are capital.
It's not if I say so... It's fact that anyone can check.
The real index isn't far off 1987 levels.
Dont get too bogged down by this talk that NZX50G is fool's paradise ...its not ...If u want to track investor returns who invested in NZX50G index via a ETF ie NZG ...traded on NZX ...it is real index fund and follows Gross index and its returns are real ...
https://www.nzx.com/instruments/
https://smartshares.co.nz/types-of-f...and-shares/nzg
Study and U will know better ...There is another index called Portfolio Index ...its called NZX50P ...which FNZ follows ...its a capped index ie max weightage is not as per market cap as in NZX50G but capped at 5% which is more suitable for layman or index investments in NZ
Why Gross index was specially formed for NZ as its a defensive market with very high dividend yield unlike USA or other markets ...thus they wanted to incorporate dividend returns also into the index to truly reflect returns from equity investments in NZ
It is impossible to achieve the return of the NZ50G for obvious reasons.
I understand the products you are talking about obviously.
Study why the index was formed and you'll know better.
Spend a good few hours on it. Study the man that created it, get your hands on documentation from the process at the time... Takes a lot of effort.
What you say is true but there is more to it.
Well, where is the $1.35 people talked about?