S&P 500 Analysis Shows 430 Percent Gain Since 2000

A financial analysis of long-term investing shows that a 10,000 dollar investment in the S&P 500 made at the height of the dot-com bubble on March 24, 2000, would be worth approximately 53,120 today. This represents a total gain of over 430 percent.

Despite the final return, the investment experienced extreme volatility over two decades. The value dropped 49 percent by October 2002 and suffered additional losses during the 2008 financial crisis. It took approximately 13 years for the original investment to recover its losses and begin generating a profit.

The data suggests that time in the market is more effective than attempting to time the market. The analysis concludes that long-term ownership of a diverse set of businesses can eventually correct the negative impact of investing at a market peak.