![]() The Nifty Fifty were established companies in their sectors. ![]() The term Nifty Fifty should not be confused with the Indian benchmark index NIFTY 50. But there is consensus on 24 stocks (see table below). The list of the Nifty-Fifty stocks popular during that time differs depending on the source. Among these were companies such as Coca-Cola, IBM, Johnson & Johnson, McDonald’s and Walt Disney. In order to combine security and returns to the greatest extent possible, an increasing number of investors started to invest in the stocks of large companies that dominated their market while at the same time reporting high growth rates. In their search to preserve wealth and achieve positive real returns, many believed this was where they would find worthwhile investments. Investors were, however, open to the stock market. Investing in gold as an alternative was not an option at all, because private ownership thereof was prohibited in the US until December 1974. Government bonds, on the other hand, were viewed with skepticism by investors due to the debt issue, even though absolute returns were around five percent. At that time, private ownership thereof was prohibited. In the mid-1960s, it wasn’t possible to turn to gold as a safe investment. Many feared inflation, and therefore focused on investments that promised to ensure stable value. Due to the Vietnam War, national debt in the US during the mid- to late 1960s was a cause of great concern among investors. ![]() As with many investment trends, historical developments facilitated the emergence of the boom of the so-called Nifty Fifty. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |