There are plenty of articles out there about how much companies like Amazon, Netflix and Apple could have made you if you got in early… but what about Indonesian stocks?
If you invested in Apple a decade ago, you’d probably be feeling pretty good about it today. According to CNBC calculations, a $1,000 investment in 2008 would be worth more than $8,569 as of October 14, or over eight times as much, including price appreciation and dividend gains reinvested.
We did some research and found that Matahari (IDX: LPPF) has also done very well over the past decade.
According to Google Finance, a 1 million rupiah investment in 2008 would have bought you 20,000 Matahari shares, which are now worth 5,975 rupiah each. So, you would have turned IDR 1,000,000 into IDR 119,500,000, or 119.5 million rupiah!
In the breakdown below, gain-loss figures do not include dividends, interest, distributions or fees except on cash accounts.
Stock: Matahari Department Store Tbk PT (IDX: LPPF)
Cost Basis: IDR 1,000,000
Purchase Price (Oct 17, 2008): IDR 50
Shares Held: 20,000
Last Price: IDR 5,975
Current Value: IDR 119,500,000
Total Return: +11,960%
If you’re looking to find the next Amazon (led by Jeff Bezos) or considering putting some money in the stock market, experienced investors like Warren Buffett suggest you start carefully.
Begin with index funds, they say, which hold every stock in an index, offer low turnover rates, attendant fees and tax bills, and fluctuate with the market to eliminate the risk of picking individual stocks.