The S&P 500 index has tripled in value since its 2009 low, marking a decade of sustained growth that has rewarded long-term investors. The benchmark index closed at 2,743.07 on Friday, compared to a post-crisis low of 676.53 points on March 9, 2009.
Extraordinary monetary policies by the U.S. Federal Reserve, including asset purchases and near-zero interest rates, provided critical support for the bull market. Corporate tax cuts under President Donald Trump also contributed to market gains in 2018 before a September sell-off raised concerns about the rally's longevity.
Investors who purchased shares in cosmetics retailer Ulta Beauty on March 9, 2009, would have seen their holdings rise nearly 7,000%, the highest gain among S&P 500 components. Netflix followed with over 6,000% growth, while telecommunications firm CenturyLink declined nearly 50%, the worst performance in the index.
The S&P 500 has delivered a 15% annualized return since 2009, with technology and consumer discretionary sectors outperforming. However, timing remains critical - investors who entered a year before the bull market began saw returns drop to 7% annually.
Market valuations have risen from 10.6 times earnings in December 2008 to 16.5 times earnings currently. After a 19.8% decline from its September 2018 peak, the index has recovered to within 7% of that high.
