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S&P 500 Annual Returns History (1928-2024)

Direct answer: The S&P 500 has delivered an average annual total return of approximately 9.8% (including dividends) since 1928. The worst single year was 1931 (−43.8%); the best was 1954 (+52.6%) in the post-war boom. Since 2000, the index has delivered positive returns in 18 of 24 years.

S&P 500 Annual Returns, 1990-2024

S&P 500 price return vs. total return (dividends reinvested), calendar years 1990-2024. 2024 figure is an estimate.
YearPrice ReturnTotal Return (Dividends Reinvested)
1990-3.1%-3.1%
1991+26.3%+30.5%
1992+4.5%+7.6%
1993+7.1%+10.1%
1994-1.5%+1.3%
1995+34.1%+37.6%
1996+20.3%+23.0%
1997+31.0%+33.4%
1998+26.7%+28.6%
1999+19.5%+21.0%
2000-10.1%-9.1%
2001-13.0%-11.9%
2002-23.4%-22.1%
2003+26.4%+28.7%
2004+9.0%+10.9%
2005+3.0%+4.9%
2006+13.6%+15.8%
2007+3.5%+5.5%
2008-38.5%-37.0%
2009+23.5%+26.5%
2010+12.8%+15.1%
2011+0.0%+2.1%
2012+13.4%+16.0%
2013+29.6%+32.4%
2014+11.4%+13.7%
2015-0.7%+1.4%
2016+9.5%+12.0%
2017+19.4%+21.8%
2018-6.2%-4.4%
2019+28.9%+31.5%
2020+16.3%+18.4%
2021+26.9%+28.7%
2022-19.4%-18.1%
2023+24.2%+26.3%
2024 est.+23%+25%

Source: NYU Stern: Historical Returns on Stocks, Bonds and Bills. Last verified: September 2026.

Frequently asked questions

What is the S&P 500 long-run average annual return?

The S&P 500 total return (including dividend reinvestment) has averaged approximately 9.8% per year since 1928. In nominal dollar terms, $10,000 invested in 1928 would have grown to approximately $70 million by 2024 (compound growth over 96 years). Inflation-adjusted (real) returns have averaged approximately 6.5-7.0% per year. The arithmetic average (simple average of each year) is higher than the geometric average (compound annual growth rate) because of volatility drag. For long-term planning, use the geometric average (CAGR) of approximately 9.8% for nominal returns.

How often does the S&P 500 have a losing year?

Since 1928, the S&P 500 has posted negative total returns in approximately 27% of calendar years (roughly 1 in 4 years). The positive years are clustered and often follow bad years: 2009 (+26.5%) followed 2008 (−37.0%); 2013 (+32.4%) followed 2011 (+2.1%) and 2012 (+16.0%); 2021 (+28.7%) followed 2020 (+18.4%). The worst losing streaks: 2000-2002 (three consecutive losing years, −9.1%, −11.9%, −22.1% total return) and 1929-1932 (four consecutive losing years). Consecutive losing years are uncommon in the post-WWII era.

Does dividend reinvestment really matter that much?

Yes, dramatically. The difference between price return and total return (with dividends reinvested) compounds significantly over decades. In 2024, the S&P 500 dividend yield was approximately 1.3% -- relatively low by historical standards. Historically (1928-2024), dividends contributed approximately 40% of total return. An investor who spent dividends rather than reinvesting them from 1928 to 2024 would have approximately 3-5x less wealth at retirement than one who reinvested. This is why total return (not just price) is the correct measure of investment performance.

References

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