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We take a look at a horizontal chart of both the Down Jones Industrial and the JSE Industrial index over the last 5 years and it is clear, the Dow Jones has clearly been outperforming its South African counterpart index.
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JSE Industrial index vs Dow Jones industrial
The horizontal map below compares the performance of the Dow Jones and the JSE industrial average using colours. The darker the blue the better the performance of a particular index from its starting point, the darker the red the poorer the performance of a particular index. Readers can select the time period (with the scroll bar below the chart, or typing in the dates at the bottom left) or chose one of the pre created time periods such as 1 month, 6 months,1 year or MAX (which in this case is 5 years).
The standard setting for the graphic is 1 year. So from 3/11/2017 to 02/11/2018. And as the standard graphic shows, while the Dow Jones has mainly been light blue and shades of a darker blue, so relatively positive performance over the last year, while the JSE industrial average is mostly a lighter shade of red, and then towards the end of the period it has been very red. So just by looking at this graphic it is clear to see that the Dow Jones has performed a lot better than its JSE listed peer the Industrial Index of the JSE.
So which stocks are listed under the JSE industrial index. Well the index include big weights such as Naspers, British American Tobacco, (it used to contain Steinhoff, hence the weak performance during the December 2017 period in which Steinhoff shares plunged by almost 90% after former CEO Markus Jooste announced that he is leaving amid an accounting scandal). Other noteworthy inclusions in the JSE industrial average include Bidvest, Remgro and Richemont. Now we know from all the press coverage that Naspers (NPN) shares have taken a beating from close to R4000 a share to trading just below R3000 a share now (down almost 17% over the last year).
So which shares are contained within the Dow Jones industrial average? Well hold on to your hat. It contains some of the most well known names/brands in the world including the following:
South Africa's economy and its stock market has not been the greatest of performers, while the American economy has been very strong and so has their stock market. And its because of this that we recommend investors should have at least 10% to 15% of their investable funds invested in offshore shares or funds.
So which stocks are listed under the JSE industrial index. Well the index include big weights such as Naspers, British American Tobacco, (it used to contain Steinhoff, hence the weak performance during the December 2017 period in which Steinhoff shares plunged by almost 90% after former CEO Markus Jooste announced that he is leaving amid an accounting scandal). Other noteworthy inclusions in the JSE industrial average include Bidvest, Remgro and Richemont. Now we know from all the press coverage that Naspers (NPN) shares have taken a beating from close to R4000 a share to trading just below R3000 a share now (down almost 17% over the last year).
So which shares are contained within the Dow Jones industrial average? Well hold on to your hat. It contains some of the most well known names/brands in the world including the following:
- Apple
- American Express
- Disney
- Coca-Cola
- Boeing
- Caterpillar
- Microsoft
- Nike
- IBM
- Wall-Mart
- Home Depot
- Mcdonalds
- Goldman Sachs
South Africa's economy and its stock market has not been the greatest of performers, while the American economy has been very strong and so has their stock market. And its because of this that we recommend investors should have at least 10% to 15% of their investable funds invested in offshore shares or funds.