Source: Morningstar
The above is a long term chart of the S&P Spain Property Total Return index denominated in Euro. I was doing some other work looking for a particular index and came across this one…I thought it might be interesting and I guess it is…if you’re not Spanish.
I don’t know how many property securities are in this index but I don’t think I’ve ever seen an index fall off the cliff like this one. If you invested $10,000 in mid-1989, it would have been worth close $110,000 towards the end of 2007….nice return… but since then…oh dear…its now worth $1,300…a near 99% drop.
So much for “property always goes up!”