{"id":1392,"date":"2023-09-20T05:33:55","date_gmt":"2023-09-20T05:33:55","guid":{"rendered":"https:\/\/www.innov8fs.co.za\/blog\/?p=1392"},"modified":"2026-03-18T11:46:25","modified_gmt":"2026-03-18T11:46:25","slug":"r1000-invested-in-the-jse-top-40-and-sp-500-in-2023-the-winner-is-clear","status":"publish","type":"post","link":"https:\/\/www.innov8fs.co.za\/blog\/2023\/09\/20\/r1000-invested-in-the-jse-top-40-and-sp-500-in-2023-the-winner-is-clear\/","title":{"rendered":"R1,000 invested in the JSE Top 40 and S&#038;P 500 in 2023 \u2013 the winner is clear"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-1393\" src=\"https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/SP-500.jpg\" alt=\"\" width=\"1200\" height=\"675\" srcset=\"https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/SP-500.jpg 1200w, https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/SP-500-300x169.jpg 300w, https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/SP-500-1024x576.jpg 1024w, https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/SP-500-768x432.jpg 768w\" sizes=\"auto, (max-width: 1200px) 100vw, 1200px\" \/><\/p>\n<p>A R1,000 investment in the S&amp;P 500 on 1 January 2023 would have grown to R1,291 by 14 September, while the same investment in the JSE Top 40 would have shrunk to R991.<\/p>\n<p>South Africa\u2019s stagnant economy and the rand\u2019s volatility caused many retail investors to reconsider where to invest their money.<\/p>\n<p>Apart from the option to invest in local and international companies on the JSE, people can also invest in exchange-traded funds (ETFs).<\/p>\n<p>ETFs are similar to unit trusts, where money from many investors is pooled. However, instead of being under the control of a fund manager, it tracks a particular index.<\/p>\n<p>Two of the most popular indexes among South African investors are the S&amp;P500 and the JSE Top 40.<\/p>\n<ul>\n<li><strong>S&amp;P 500\u00a0<\/strong>\u2013 The Standard and Poor\u2019s 500 tracks the stock performance of 500 of the largest companies listed on US stock exchanges.<\/li>\n<li><strong>JSE Top 40<\/strong>\u00a0\u2013 The FTSE\/JSE Top 40 index comprises the 40 biggest companies in the JSE All-Share Index.<\/li>\n<\/ul>\n<p>It raises the question of which index achieved the best return for South African investors in 2023.<\/p>\n<p>An analysis shows that the S&amp;P 500 significantly outperformed the JSE Top 40 between 1 January and 14 September 2023.<\/p>\n<p>A R1,000 investment in the S&amp;P500 would have grown to R1,291 \u2013 a 29.1% increase over the 8-month year-to-date period.<\/p>\n<p>This investment benefitted from the growth in the US market and the weakening of the rand.<\/p>\n<p>Of the 29.1% increase, approximately 11% was attributed to the weakening of the rand and 18% was attributed to the growth in the US stock market.<\/p>\n<p>A R1,000 investment in the JSE Top 40 would have fallen to R991. It translates into a 0.85% loss in the year to date and an annualised loss of 1.2%.<\/p>\n<p>The local market enjoyed a good start to the year, but record load-shedding and aggressive monetary policy tightening hampered growth.<\/p>\n<h2 class=\"wp-block-heading\">JSE Top 40 versus S&amp;P 500<\/h2>\n<p>The chart below shows the performance of R1,000 invested in the<strong>\u00a0<mark class=\"has-inline-color has-orange-color\">JSE Top 40<\/mark><\/strong>\u00a0and\u00a0<strong><mark class=\"has-inline-color has-blue-color\">S&amp;P 500<\/mark><\/strong>\u00a0on 1 January 2023.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-1394\" src=\"https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/1-8-1024x579-1.jpg\" alt=\"\" width=\"1024\" height=\"579\" srcset=\"https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/1-8-1024x579-1.jpg 1024w, https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/1-8-1024x579-1-300x170.jpg 300w, https:\/\/www.innov8fs.co.za\/blog\/wp-content\/uploads\/2023\/09\/1-8-1024x579-1-768x434.jpg 768w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A R1,000 investment in the S&amp;P 500 on 1 January 2023 would have grown to R1,291 by 14 September, while the same investment in the&hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-1392","post","type-post","status-publish","format-standard","hentry","category-innov8ions"],"_links":{"self":[{"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/posts\/1392","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/comments?post=1392"}],"version-history":[{"count":1,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/posts\/1392\/revisions"}],"predecessor-version":[{"id":1395,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/posts\/1392\/revisions\/1395"}],"wp:attachment":[{"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/media?parent=1392"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/categories?post=1392"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.innov8fs.co.za\/blog\/wp-json\/wp\/v2\/tags?post=1392"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}