26% of GDP vs 65% of market value, is the US stock market worth it?
The stock market is not the economy, but the United States accounts for about a quarter of global GDP, while U.S. stocks account for nearly 70% of the global stock market value. Most other countries have a relatively similar weight of stocks and GDP—such as Canada, Japan, the UK, France, and Germany. The two outliers here are China and the United States. China accounts for 17% of global GDP, but is less than 3% in the MSCI Global Index
The stock market is not the economy, but the United States accounts for about a quarter of global GDP, while U.S. stocks account for nearly 70% of the global stock market value.
The weight of stocks relative to GDP in most other countries is relatively similar—Canada, Japan, the UK, France, Germany, etc. The two outliers here are China and the United States.
China accounts for 17% of global GDP, but is less than 3% in the MSCI Global Index