Understanding equity investments at a glance – with the return triangles of Deutsches Aktieninstitut.
When it comes to long-term wealth accumulation, there is no way around shares. But how can the opportunities and risks of investing in shares be recognised at a glance? This is precisely where Deutsches Aktieninstitut’s return triangles come in – a tried-and-tested tool for financial advice and communication with investors.
Especially in times of increasing uncertainty – characterised by trade conflicts, geopolitical tensions and fluctuating markets – many investors are increasingly worried about losses. The price fluctuations triggered by the tariff dispute between the USA and China or the recent economic challenges in Europe, for example, have once again shown how nervously the markets react to external influences.
However, the history of the stock markets proves this: Those who invest for the long term and withstand interim setbacks are often rewarded with stable and attractive returns. This is precisely what the return triangles make visible at a glance.
What do the return triangles show?
The return triangles impressively illustrate how a monthly investment in shares would have developed over different periods of time – under real market conditions. Using the DAX triangle as an example, it becomes clear that those who invest regularly and have a long-term investment horizon have historically been able to achieve attractive annual returns.
One particularly revealing result:
A monthly investment in the DAX from the end of 1996 to the end of 2017 yielded an average annual return of 7.1 per cent.
Losses can occur over short investment periods in particular – but the longer the savings period, the greener the picture. For example, those who invested monthly over 20 years did not have to contend with losses in any period.
A classic in financial education
The yield triangles are considered a classic in investment advice. They are not only used by banks and financial service providers, but also in the press to illustrate the opportunities of investing in shares in a simple way. Thanks to their clear visual presentation, they are also ideal for training and financial education.
Deutsches Aktieninstitut offers the return triangles for various indices – including DAX, EURO-STOXX, MSCI World and MSCI Emerging Markets.
For whom are the triangles interesting?
Whether financial advisors, asset managers or private investors – the return triangles provide sound arguments in favour of investing in shares. Especially in times of fluctuating markets, they help to support rational investment decisions and strengthen confidence in long-term saving with shares.
Translated with DeepL.com