From The Motley Fool · Daniel Sparks · · 1m 10s
Warren Buffett's 2008 Buy American Advice
Buffett's 2008 'buy American' advice still holds value after 18 years.
In brief
Buffett's 2008 'buy American' advice still holds value after 18 years. Following Buffett's 2008 advice to buy American stocks during the financial crisis led to a 11.6-fold gain in the S&P 500 by 2026. Originally reported by The Motley Fool.
Buffett's 2008 op-ed
Warren Buffett published an op-ed in The New York Times on Oct. 16, 2008, titled 'Buy American. I Am.'
“buy american. i am”
Market context
The S&P 500 closed at 941 on Oct. 17, 2008, down 40% from its October 2007 record.
Buffett's investment strategy
Buffett bought American stocks, saying his net worth would soon be fully in U.S. stocks if prices remained appealing.
“i've been buying american stocks”
Short-term market drop
The S&P 500 dropped 28% from Oct. 17, 2008, to hit a low of 677 on March 9, 2009.
Long-term recovery
The S&P 500 recovered to 115,600 from $10,000 invested on Oct. 17, 2008, with dividends reinvested.
Current market comparison
Investing in the S&P 500 on Oct. 17, 2008, grew 11.6-fold by 2026, while waiting for the market to recover cost more.
At a glance
Following Buffett's 2008 advice to buy American stocks during the financial crisis led to a 11.6-fold gain in the S&P 500 by 2026.
