S&P 500 - 2020 Returns to date by sector

[Itsallaguess]

I came across this cool video and thought others here might find it interesting, both regarding the data presented and also the way the data is being presented, which is what interested me the most initially..

It's the S&P 500 returns to date for 2020, up to 1st June, broken down by industry sector and presented by market-caps for each company shown -

https://www.youtube.com/watch?v=qqVb8i4B8SY

I've not seen anything like this done before, and thought it was a really good way of presenting this sort of time-series market data.

A more interactive model can be found on the creators website below, which holds a 'current-state-of-play' model that allows mouse-interaction with each of the company elements -

https://www.chartfleau.com/sp500/

Cheers,

Itsallaguess

[GrahamPlatt]

First time I saw it done was a revelation.

Hans Rosling’s TED talk

https://youtu.be/hVimVzgtD6w

[1nvest]

Thanks for those links.

I do like those individual assets breakdown type charts


The buy the haystack set say that you'll otherwise miss the best performers that uplift the whole to levels such that most stocks lag the average. A simile I like to use is a room of ten people. It's not so much a case of heights of one 5', eight 6' and one 7', overall average of 6' such that most match the average height, but rather the 7' individual is a 7'6" giant instead, such that most fall short of the 6.05' average.

However its a fractal thing. Applies over all time periods and size/amounts. From countries for decades down to intra-day small sets. Sort individual assets worst (left) to best (right) and the same pattern tends to be evident - one or more right tail good-un's uplifts the overall average - such that the majority of others tend to fall short of the average of the set. But with a small number of samples, and assuming equal initial weighting, you'll have more ££'s invested in each individual case. If the set is 100 and one gains 100%, then with just 1% of the total investment invested in that best case it adds 1% to the total portfolio value. With a set of 10 and one gains 10% - then with 10% of the total investment invested in that then it equally adds 1% to the total portfolio value. Such that you end up with the likes of the Dow 30 stocks index, broadly comparing with the likes of the S&P 500 stocks index.

The risk with smaller sets is that whilst you're just as equally likely to miss the best/greatest performer(s) as you are the worst performer(s), there is a chance that you might end up including the worst, but not the best. But that spins around the other way as well - you could end up having included the best, but not the worst. I guess that there is a positive bias in such probabilities however - the worst is limited to -100% whilst the best is unbounded (could for instance rise 1000%), such that over repeated sampling of sub-sets the overall average of all such sub-sets would be greater than the whole (haystack).