The stock market is not just where shares of publicly listed companies trade, it’s perhaps the most vital component of the free market economy. While companies use the stock market to sell shares for the purposes of raising funds for their operations, there’s something else that is so essential to the sector. The market offers everyday investors the opportunity to buy shares and grow their investment.
However, the market is vast and it might pay for an investor to have a grasp of the broader market via access to the latest stock market news, right information, particularly knowledge of how the market works. Indeed, notable facts and statistics for key areas of the market can help one formulate important decisions before they are in stocks.
These 25+ most interesting stock market statistics for 2022 offer a great starting point heading into 2023.
Top stock market stats for 2022
The global stock market capitalization is $105 trillion as of November 2022; it was $121 trillion in December 2021.The United States stock market accounts for 44% of the world’s stock market capitalization.The S&P 500 Index has declined nearly 17% year-to-date (November 2022) after a brutal bear market.Almost 56% of American adults own stocks, while it’s 89% among the wealthiest households.On average, a bear market lasts about 10 months while the average bull market takes nearly three years.
Global stock market statistics
1. The Frankfurt Stock Exchange is the oldest in the world
The world’s largest stock exchange may be in the United States, but Europe takes the mantle when it comes to the largest stock exchange by age. According to Statista, that honour goes to the Frankfurt Stock Exchange, founded in 1585 (437 years ago).
2. 11 stock exchanges were founded more than 100 years ago
The New York Stock Exchange and London Stock Exchange are second and third oldest stock exchanges in the world at 229 and 220 years old respectively. However, 11 stock exchanges have clocked 100+ years.
3. The global stock market capitalization hit a record $121 trillion
Despite the COVID-19 pandemic hit to the global equity market in 2020, the total market capitalization worldwide hit a peak of $121 trillion in late 2021. As of November 2022, the global market cap of all companies listed on stock exchanges was at $105 trillion. (Statista)
4. The United States accounts for 44% of total stock market cap
The major stock exchanges in the United States account for the greatest share of the stock market cap in 2022. As of November 2022, the total market capitalization of all publicly listed US stocks was $46.4 trillion, up from 40.7 trillion in 2020.
5. The top 5 countries account for 74% of stock market capitalization
The United States, China, Japan, Hong Kong, and Canada are the world’s largest stock markets, with the listed companies in these countries accounting for 74.43% of global market capitalization at over $92 trillion.
6. The New York Stock Exchange is the world’s largest stock exchange with over $23 trillion in market cap as of November 2022
The New York Stock Exchange in the United States is the world’s largest stock exchange. NYSE had a stock market capitalization of over $23 trillion as of November 2022. The NASDAQ and the Shanghai Stock Exchange completed the top 3 at the time with just under $20 trillion and $7 trillion respectively.
7. 19 of the world’s largest stock exchanges all have a market cap of $1 trillion or more
The New York Stock Exchange, Nasdaq Stock Exchange, Shanghai Stock Exchange, Tokyo Stock Exchange and the Shenzhen Stock Exchange are the world’s top 5 markets. A total of 19 stock exchanges around the world are ranked with $1 trillion or higher worth of market capitalization.
8. Apple is valued at $2.37 trillion, the world’s company by market capitalization
US-based technology giant Apple Inc. (NASDAQ: AAPL) is the world’s largest company by market capitalisation. The iPhone maker reached a landmark $3 trillion market capitalization in January 2022, and although it’s currently set at $2.37 trillion it still ranks as the world’s largest corporation by market cap.
9. Globally, only 4 companies have a market cap exceeding $1 trillion
The global trillion-dollar club in the stock market only has five members as of November 2022. Apple leads with over $2.3 trillion in market cap, having briefly hit $3 trillion earlier in the year. The others with $1 trillion+ are:
Saudi Aramco – $1.955 trillion Microsoft – $1.807 trillionAlphabet (Google) – $1.234 trillion
10. The world’s most expensive stock is Warren Buffet’s Berkshire Hathaway
Warren Buffet’s Berkshire Hathaway Inc. (NYSE: BRK.A) is the world’s most expensive stock, valued at $477,019 as of 25th November 2022. The reason for this scenario is that the company has never done a stock split, which gives the single share that much value.
11. Over 80% of the stock market is automated
The growth in the stock market over the years has coincided with the introduction of numerous technology tweaks. One of these developments has been automation of trades, with 2022 stock market statistics showing that more than 80% of all trades on Wall Street are enhanced by advanced technological features that improve trading speed and accuracy among others.
Stock market performance statistics
12. About 86% of S&P 500 stocks traded above their 50-DMAs as of November 2022
As the tumultuous 2022 stock market moved towards its close, financial research group Bespoke Investment shared stats showing that more than 86% of S&P stocks were trading above the 50-day moving averages as of November. At the same time, 100% of S&P 500 Consumer Staples stocks had broken above their 50-DMAs.
13. The S&P 500 index has an average return of 11.8%
14. On average, it takes 15 months for stock markets to recover from downturns of 20-40%
The average recovery time for the stock market after a 5-10% crash is historically 30 days or so. If the pullback places within 10-20%, it usually takes about four months for markets to recover. However, for a bigger sell-off in the 20-40%range, then markets have historically needed up to 15 months to recover.
15. Stocks rally an average 114% during bull markets
While stocks decline an average of 36% during bear markets, the bull market gains have averaged 114%.
16. An average bull market lasts 991 days, or about 2.7 years
Normally, bear markets are more short-lived lasting about 289 days, or approximately 9.6 months. In comparison, bull markets last an average of 991 days or about 2.7 years.
17 Recovery after a full blown market crash takes 13 years
Historically, various factors have contributed to the slow recovery of stock markets after a full blown crash as that seen in 2008. Usually, the market navigates the reversal for 151 months, or about 13 years.
18. The S&P 500 index closed at an all-time high of 4,766.18 in December 2021
The S&P 500 rose more than 26% through 2021 to 4,766.18 points in December for its highest value on record. These came amid a bull market run buoyed by easy money flowing through the economy following the COVID-19 pandemic. Historical data however shows the S&P 500 is 17% lower as of November 2022, and was oscillating around 3,976.
19. The S&P 500 rises an average of 8% one month after market correction
While stock market corrections are frequent and happen every two or so years, the S&P 500 has historically soared an average of 8% in the 30 days that follow the correction hitting a bottom. In fact, gains after the correction bottom have hit 24% or more on average just one year later.
20. The S&P 500 fell into correction territory in February 2022
In February 2022, the S&P 500 index fell into “correction” territory, declining more than 10% from its highs in December of the previous year.
21. There have been 20 stock corrections since 1980, including in 2022
Market corrections have historically occurred once every 2 years and involve declines of between 10% and 20% from a stock index’s last all-time high. There have been 20 stock market corrections since the 1980s, with only six occasions when a decline has surpassed 20% – this included the 2020 and 2022 corrections that were bearish. In 2020, the stock market declined 34% while in 2022, the S&P 500 fell more than 20% by June 2022 to enter bear market territory.
22. The third year of a US presidential term sees an average S&P 500 return of 12.8%
US stocks usually dip after the second year of a presidential term, dropping to an average of 4.8% from .5.2%. However, the third year has usually seen a huge spike, with average gains reaching 12.8%. The fourth year sees average S&P 500 returns of 5.7%.
Stocks ownership statistics
23. 89% of adults with an income of $100,000 or more own stocks
More people whose household income is $100,000 or higher invest in stocks. According to a Gallup survey of 2021, it was established that nearly 89% of adults in the above category owned stocks. In comparison, only 25% of those with a household income below $40,000 said they owned stocks.
24. 56% of Americans owned stocks in 2022
The number of Americans who reported owning stocks in 2022 was at 56% of the adult population, translating to about 145 million people. The percentage growth showed a very slight upside from the 55% of US adults who said they owned stocks in 2020. However, the numbers were still lower compared to the 63% in 2002 and 60% in 2007.
25. Millennials own just 2.6% of all US stocks
While Millennials have been shown to have invested more in cryptocurrencies for instance, the comparative percentage who own stocks is very small. According to data by the Federal Reserve, Millennials owned just 2.6% of all US stocks by Q2 of 2022, compared to Gen X’s 26.5% and Baby Boomers’ 55%.
26. Approximately 10% of American households own international stocks
Diversification is a key trend in 2022 and data shows nearly 10% of US households have added shares of various global companies to their portfolios
27. The wealthiest 10% of Americans own 89% of all US stocks
A small number of Americans, the wealthiest 10% of the population, owned 89% of all US stocks in 2022, according research details from late 2021. The top 1% on the rich list reportedly added $6.5 trillion to their wealth in stocks during the pandemic, far more than the $1.2 trillion gained by the bottom 90% of the population that owned 11% of all US stocks.
28. 89% of Warren Buffett’s portfolio is in 12 stocks
Warren Buffet has stakes in over forty securities. However, just 12 stocks make up 89% of the Oracle of Omaha’s portfolio. As of 15 November 2022, Berkshire Hathaway’s $347.2 billion was invested in just a dozen assets, with the top three being 39.6% in Apple (NASDAQ: AAPL), 11.2% in Bank of America (NYSE: BAC), and 9.2% in Chevron (NYSE: CVX).
The rest of the top 12 of Buffet’s portfolio as of November 2022 are:
Coca-Cola (NYSE: KO) 7%American Express (NYSE: AXP) 6.7%Occidental Petroleum (NYSE: OXY) 4.2%Kraft Heinz (NASDAQ: KHC) 3.5%Moody’s (NYSE: MCO) 2.1%TSMC (NYSE: TSM) 1.4%BYD (OTC: BYDD.F) 1.3%Activision Blizzard (NASDAQ: ATVI) 1.3%HP (NYSE: HPQ) 1.1%
Stock market statistics don’t tell the whole story, but they offer snippets of what and how the market is. In 2022, the bear market has the S&P 500 looking to close in the red, but as stats show, the index has gained an average of 114% every bull market and has seen about 12% in average upside movement since 1957.
All in all, the market has a lot more statistics that the best course of action is for one to do their own due diligence for every company they consider a potential investment opportunity.