Dusseldorf The leading German index has staged a brilliant rally in the past six months: it has risen by around 27 percent and is thus close to its all-time high again. The Dax is currently doing better than the US markets. But as is so often the case, an old saying is also true here: all that glitters is not gold.
Financial market analyst Ulf Sommer explains in the podcast that the strong Dax and the almost all-time high hide the true, poor course of the index: “Since 2000, almost all profits from the Dax have been based solely on dividends, which most corporations transfer to their shareholders once a year .” For the Handelsblatt, Sommer adjusted the leading index for these dividends. What remains is a sobering balance sheet: “The Dax gave us two lost decades.”
More: Why the Dax annual high is deceptive
We have an exclusive subscription offer for you as a Handelsblatt Today listener: Test Handelsblatt Premium for four weeks for €1 and always stay informed about what’s moving the financial markets. More information is available here.
If you have any comments, questions, criticism or praise for this episode, please email us at: [email protected]
We can now be reached on WhatsApp, Signal and Telegram via the following number: 01523 – 80 99 427