The S&P 400 Midcap Index was introduced in June 1991 and is the most widely-followed U.S. Midcap stock market index. I have
previously posted charts with annual returns through 2007, 2008, 2009, 2010, 2011, 2012, and 2014.
The charts below show calendar-year returns between 1992 and 2022
(click on the charts for a larger view). The charts below also show 5-year annualized returns, starting with the fifth full calendar
year of the existence of the S&P 400 Midcap Index (i.e.,
1996), as well annualized returns for 10-, 15-, 20-, and 25-year periods of time. The returns shown below account for reinvestment of all dividends paid by index components.
As
shown below, the S&P 400 Midcap Index dropped about -13.06% in 2014. Although it was a negative return, this index outperformed the vast majority of the major U.S. stock market indexes, including the Nasdaq-100, which dropped 32.38% and the S&P 500, which dropped 18.11%. The total return of the Index between December 31, 1991 and December 30, 2022 (the last trading day of 2022), was about 2,524%, an annualized return of about 11.12%. The 5-year annualized
return through 2022 was about 6.71%, the 10-year annualized return
was about 10.78%, the 15-year annualized return were
about 8.87%, the 20-year annualized return was about 10.66%, and the 25-year annualized return was about 9.79%.
Any long-term investor
should seriously consider investing money in midcap stocks, such as those
tracking the S&P 400 Midcap Index (e.g., the Midcap SPDR ETF
(symbol: MDY) tracks the
S&P 400 Midcap Index). Midcaps tend to provide higher returns
over time than large cap stocks, such as those comprising the S&P 500 Index, although such stocks are generally more volatile
over shorter time periods.
.png)
.png)
