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Question: Does SPX chart include dividend payments?


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#1 Rogerdodger

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Posted 26 June 2011 - 10:19 AM

Laundry's weekend update asks if the $SPX from Stockcharts includes dividend payments in the overall returns displayed?
Does anybody know the answer? TIA

Note also how his "Best Bond Strategy" well surpasses buy-and-hold on the SPX:
http://ttheory.typepad.com/

http://stockcharts.c...83505&r=102.png

He also comments on expecting a future market controlled byPosted Image
Deficits
Debt
Demographics
NO GROWTH!

Posted Image

Edited by Rogerdodger, 26 June 2011 - 10:34 AM.


#2 colion

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Posted 26 June 2011 - 12:26 PM

My data supplier does not include dividends for $SPX and my 200 dma is the same as StockCharts. So, I'd say no.

#3 Cirrus

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Posted 26 June 2011 - 03:08 PM

I would agree with colion but not absolutely certain. Typically, if you want SP500 w/dividends you need an "SP 500 total return index".

#4 Rogerdodger

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Posted 26 June 2011 - 04:01 PM

I apologize for being a bit lazy, maybe busy too.
With dividends paid being so low (thanks to tax law) there seems to be little difference on the recent decade.
It seems like there should be an easy answer. But it doesn't be enough of a concern to make it readily obtainable.
Here's what a search offered:

1950 to 2010:
Total Return
According to Standard & Poor's, the dividend component was responsible for 44 % of the total return of the last 80 years of the index. If we are to analyze the historical profitability of stock investments, this portion cannot be neglected. Therefore, it is of interest to graph and average the total return (meaning the increase in value if all dividends were reinvested) instead of the evolution of price. The following graph shows the S&P 500 historical return since 1950:

Posted Image

The effect of investing $1 in 1950 is seen. The orange curve shows the result of having all dividends reinvested (i.e., the total return), while the blue curve disregards dividends, therefore reflecting only the evolution of price. As can be seen, reinvesting all dividends produced about 8 times the return. Note that the y-axis is logarithmically scaled, for better appreciation of the earlier trends.

http://www.simplesto...tal-returns.htm

http://tal.marketgau...sp?chart=DIVTBL
Posted Image

Edited by Rogerdodger, 26 June 2011 - 04:52 PM.


#5 vitaminm

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Posted 26 June 2011 - 04:07 PM

http://support.stock...d-distributions
vitaminm

#6 colion

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Posted 26 June 2011 - 06:20 PM

http://support.stock...d-distributions


This confirms that StockCharts only adjusts stock and mutual funds but not indices. So, for example, SPY is adjusted but not $SPX.

#7 vitaminm

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Posted 26 June 2011 - 11:42 PM

$spx is not traded as stock and may not pay dividend!

http://en.wikipedia.org/wiki/S%26P_500



http://support.stock...d-distributions


This confirms that StockCharts only adjusts stock and mutual funds but not indices. So, for example, SPY is adjusted but not $SPX.


vitaminm

#8 colion

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Posted 27 June 2011 - 04:22 AM

That's what was said - $SPX is an index - so "SPY is adjusted but not $SPX".