If You'd Thrown $1,000 at the SPDR S&P 500 ETF 33 Years Ago, Here's the Jaw-Dropping Amount You'd Have Now
- - If You'd Thrown $1,000 at the SPDR S&P 500 ETF 33 Years Ago, Here's the Jaw-Dropping Amount You'd Have Now
David Dierking, The Motley FoolJanuary 6, 2026 at 1:05 AM
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Key Points -
The S&P 500 has been one of the simplest and best options for long-term buy-and-hold investing.
Since its inception in 1993, the SPDR S&P 500 ETF (SPY) has returned more than 2,700%.
The fund is currently one of the largest ETFs in the marketplace with more than $700 billion in assets.
10 stocks we like better than SPDR S&P 500 ETF Trust ›
The SPDR S&P 500 ETF (NYSEMKT: SPY) is the original exchange-traded fund (ETF). Launched in January 1993, it's still one of the five biggest ETFs in existence with more than $718 billion in assets under management (AUM) as of Dec. 30, 2025.
What makes up the S&P 500 index has changed radically over time. Back in the early 1990s, the largest allocations belonged to energy, industrials, and consumer stocks. At the time, tech only accounted for about 5% of the index.
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Tech blew up to roughly a 35% allocation right before the tech bubble burst. Financials became the largest sector at around 22% just before the financial crisis cut that number down to the single digits. Today, of course, tech dominates again by accounting for about 34% of the index.
Over the course of its 33-year life, it's also done a terrific job of delivering strong returns for shareholders. Since inception, the fund has produced an average annual return of 10.7%. If you do the math, its cumulative lifetime return roughly comes out to a staggering 2,740%!
That means a single $1,000 investment made when the SPDR S&P 500 ETF launched would today be worth about $28,400!
This is a testament to the power of long-term buy-and-hold investing. Even with the tech bubble, the financial crisis, the COVID bear market, and every correction in between, the S&P 500 has been one of the best long-term investment options available.
Should you buy stock in SPDR S&P 500 ETF Trust right now?
Before you buy stock in SPDR S&P 500 ETF Trust, consider this:
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Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $490,703!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,157,689!*
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David Dierking has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Source: “AOL Money”
