Major World Stock Market Indexes : Regression Line

 

                                                       < Image Credit : Azquotes.com>



STI up by 9.84% in 2021, basically if SG banks and REITs are performing well, STI should be OK as more than 60% of STI weightage are bank stocks and REITs.  For me, STI is more for dividend and passive income, slow and steady but good for retirees like me. :D




SG REITs are almost flat in 2021 but with dividends, the total returns should be around +5.8%. Of course for individual REIT, performance varies from sector to sector, data centre and logistics perform better than office and retail and the worst is still hospitality. 



HSI is one of the worst index performances in the world. It had been dragged down by the continuous crackdown by the government on property/education and tech anti-monopoly issues in 2021. Moving towards 2022, the regulatory risk is still the main issue but hope with the more accommodative and loose monetary policy, the market would rebound from here on. Valuation looks attractive from PB/PE POV. Will 2022 be a better year for HSI? Really nobody knows, I don't have the crystal ball either. :D



FTSE A50 is also down by -10.5% in 2021, although it doesn't have tech stocks like ATMXJ but the old economy stocks like Finance ( China Merchant Bank/Ping An Insurance/CITIC etc ) and consumer staples ( Kweichow Moutai/ WuliangYe/ Iner Mongolia Yili/Luzhou Laojiao etc) also suffered from low consumer consumption and sentiment. Will the improving economic situation in 2022 and loose monetary policy help to turn the tide for FTSE A50 in 2022 ? Let's hope and see...



KLSE is down by 5.6% in 2021 and I think 2022 will be another challenging year for KLSE judging from their budget and macro factors. Of course, some companies like electronic and chips related may perform better.



NIKKEI 225 is up by only 4.9% in 2021, maybe their government had stopped buying the ETF? What do you think?



FTSE 100 up nicely by more than +14% in 2021!  Oil majors ( RD-Shell /BP) /commodities ( BHP/RIO) stocks rebounded strongly in 2021 and contributed much to this uptrend. Will this trend continue in 2022, let's see if commodities and oil prices will keep rising in 2022.




DAX is up by more than 15%! Manufacturing is still the key to economic recovery for Germany. Are you changing to a new car in 2022? That will help to contribute to the uptrend of DAX :D







Hurrah !! & Congratulation! if have invested in the US market which is one of the top world stock market performers in 2021 with returns of more than +20%.

Will the party stop after FED's tapering and rising interest rate in 2022? Nobody knows , remember the above quotes from John M Keynes  "Markets can remain irrational longer than you can remain solvent."


Components of the S&P 500
#CompanySymbolWeight      PriceChg% Chg
1Apple Inc.AAPL6.863952   177.720.15(0.08%)
2Microsoft CorporationMSFT6.29614   336.790.47(0.14%)
3Amazon.com Inc.AMZN3.635777   3,334.33-0.01(-0.00%)
4Alphabet Inc. Class AGOOGL2.173763   2,900.002.96(0.10%)
5Tesla IncTSLA2.15175   1,062.605.82(0.55%)
6Alphabet Inc. Class CGOOG2.017663   2,895.231.64(0.06%)
7Meta Platforms Inc. Class AFB2.013766   337.461.11(0.33%)
8NVIDIA CorporationNVDA1.828012   294.280.17(0.06%)
9Berkshire Hathaway Inc. Class BBRK.B1.357654   299.000.00(0.00%)
10UnitedHealth Group IncorporatedUNH1.174155   502.140.00(0.00%)

As I mentioned before, these top 10 companies attributed to almost 27.5% of the total index weightage and 9 out of 10 are Tech companies except UHG. ( I assume BRK.B is a tech company as Apple share contributed almost 43% of its market value).


11JPMorgan Chase & Co.JPM1.157422   158.510.16(0.10%)
12Johnson & JohnsonJNJ1.12109   171.070.00(0.00%)
13Home Depot Inc.HD1.069188   415.010.00(0.00%)
14Procter & Gamble CompanyPG0.973797   163.580.00(0.00%)
15Visa Inc. Class AV0.902937   216.710.00(0.00%)
16Pfizer Inc.PFE0.81011   59.050.00(0.00%)
17Bank of America CorpBAC0.792495   44.490.00(0.00%)
18Mastercard Incorporated Class AMA0.775045   359.320.00(0.00%)
19Walt Disney CompanyDIS0.700261   154.890.00(0.00%)
20Broadcom Inc.AVGO0.676567   665.39-0.02(-0.00%)
21Netflix Inc.NFLX0.670083   604.502.06(0.34%)
22Adobe Inc.ADBE0.669939   568.191.13(0.20%)
23Cisco Systems Inc.CSCO0.663144   63.410.04(0.06%)
24Thermo Fisher Scientific Inc.TMO0.648058   667.240.00(0.00%)
25Accenture Plc Class AACN0.646787   414.550.00(0.00%)
26Exxon Mobil CorporationXOM0.636034   61.190.00(0.00%)
27salesforce.com inc.CRM0.617794   254.130.00(0.00%)
28Abbott LaboratoriesABT0.61608   140.740.00(0.00%)
29Costco Wholesale CorporationCOST0.615757   566.62-1.08(-0.19%)
30AbbVie Inc.ABBV0.593901   135.400.00(0.00%)
31PepsiCo Inc.PEP0.590027   173.990.28(0.16%)
32Comcast Corporation Class ACMCSA0.571081   50.460.13(0.26%)
33Coca-Cola CompanyKO0.564733   59.210.00(0.00%)
34Chevron CorporationCVX0.559962   117.350.00(0.00%)
35PayPal Holdings Inc.PYPL0.557165   188.600.02(0.01%)
36Eli Lilly and CompanyLLY0.544027   276.220.00(0.00%)
37Verizon Communications Inc.VZ0.534621   51.960.00(0.00%)
38NIKE Inc. Class BNKE0.527858   166.670.00(0.00%)
39Intel CorporationINTC0.520053   51.590.09(0.17%)
40Danaher CorporationDHR0.516267   329.010.00(0.00%)
41Qualcomm IncQCOM0.505778   182.76-0.11(-0.06%)
42Walmart Inc.WMT0.504264   144.690.00(0.00%)
43McDonald's CorporationMCD0.493481   268.070.00(0.00%)
44Merck & Co. Inc.MRK0.481278   76.640.00(0.00%)
45Wells Fargo & CompanyWFC0.473918   47.980.00(0.00%)
46NextEra Energy Inc.NEE0.449863   93.360.00(0.00%)
47Intuit Inc.INTU0.449292   643.260.04(0.01%)
48Lowe's Companies Inc.LOW0.438707   258.480.00(0.00%)
49Linde plcLIN0.436142   346.430.00(0.00%)
50AT&T Inc.T0.436096   24.600.00(0.00%)


These 50 companies contributed almost 53% of the total index weightage. Since S&P 500 is a market-cap index, so the big will become bigger with more $$ pouring into the index, well,this is like perfect capitalism, the rich become richer! 

Who ( which market ) will be the winner in 2022 ? Let's see and what is your bet ?   :D


Cheers !!


STE

Comments

  1. Hello World2 January 2022 at 23:59

    For STI ETF, don't forget to add the dividends. Its more like 12% with dividends included.
    Euro Stoxx 600 is also a surprise top performer, with 20%+ returns.

    ReplyDelete
  2. STE4 January 2022 at 10:36

    Hi Hello World,
    Thanks for the comments,yes if we add the dividend , total return for STI will be around +13% as according to Nikko AM STI ETF , TTM yield for STI is about 3.28%>
    Hope STI could maintain the double digits return in 2022! Huat Ah !
    :D cheers!

    ReplyDelete
  3. Anonymous30 July 2022 at 01:00

    new reader here...awesome stuff

    ReplyDelete

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