There were mixed results from the world’s main share markets in 2015, with the US and UK very little changed.
|Dow Jones Industrial||-2.2%|
|Standard & Poor’s 500||-0.7%|
|Euro Stoxx 50 (€)||+3.9%|
|MSCI Emerging Markets (£)||-12.2%|
Drilling into the raw numbers reveals a few interesting insights:
- Although the FTSE 100 fell nearly 5%, this was mainly due to the dominance of the index by multinational commodity and energy companies. The FTSE250, which covers medium sized companies with more of a domestic focus, rose by over 8%.
- Once dividends are taken into account, the FTSE All-Share – the broadest measure of UK shares – produced a positive return of about 1%.
- Sterling had a mixed year, which reduced the returns for UK investors in some foreign markets, but enhanced them in others. The pound was down 4.3% against the Japanese Yen, but up 5.5% against the Euro. The dollar rose by 5.1% against sterling, helped by the Fed’s long-awaited first interest rate rise in December.
- Emerging markets turned in widely different returns, particularly once currency movements were taken into account. For all the summer trauma, the main Chinese markets were up on the year.