S&P Index in perspective!

Each block in the histogram below represents one year of stock returns, using data since 1825. The most recent observation, based on 2008 returns to date, is the dark block in the far left tail, highlighting the fact that this year has been the second worst performing one since 1825! Note also the high kurtosis of the distribution, which again underlines the extraordinary nature of the last two decades of growth in the equity market.



(HT: Greg Mankiw)