The stock market is often seen as mysterious, unpredictable, and complicated. But behind the charts, figures, and headlines, there are fascinating facts that most people never discover. Here are 15 unbelievable things about the stock market that might surprise you.
1. The Stock Market is Over 400 Years Old
Did you know the first stock market was established in Amsterdam in 1602 by the Dutch East India Company? This market introduced modern concepts like publicly traded shares and dividends.
2. October Is the Most Volatile Month
Historically, October sees more market crashes than any other month, including the infamous crashes of 1929 and 1987.
3. “Bull” and “Bear” Markets Originated from Animal Fights
The terms “bull” (optimistic market) and “bear” (pessimistic market) originated from animal fighting pits in England. Bulls thrust their horns up, while bears swipe downward, symbolising rising or falling markets.
4. There’s a ‘Super Bowl Indicator’
The “Super Bowl Indicator” suggests the stock market rises in a year when an NFC team wins and falls when an AFC team wins. Surprisingly, it’s been accurate about 70% of the time.
5. Women Tend to Outperform Men
Research shows women investors typically outperform men because they trade less frequently, avoid speculative investments, and stick to long-term strategies.
5. Berkshire Hathaway’s Stock Price is Over £400,000 per Share
Warren Buffett’s Berkshire Hathaway Class A shares hold the record for the highest stock price, trading over £350,000 per share, making them the most expensive publicly traded stock ever.
6. Coca-Cola Has Paid Dividends for Over 100 Years
Coca-Cola has consistently paid dividends to shareholders since 1920, proving the value of dividend investing for long-term wealth-building.
7. The Stock Market Isn’t the Economy
Despite popular belief, stock market performance doesn’t always mirror the economy. Stocks can rise while unemployment climbs, reflecting investor expectations rather than current economic reality.
7. Robots Run Most Stock Trades
Over 70% of stock market trading volume today is driven by automated algorithms or robots. High-frequency trading bots execute thousands of trades per second, far faster than human traders.
8. Only 14% of People Own Stocks Directly
While investing in stocks can be highly profitable, only about 14% of people globally directly invest in stocks. Many invest indirectly through mutual funds, ETFs, or pension plans instead.
9. The Stock Market Predicts Recessions
The stock market often signals economic downturns months before they officially happen, making it one of the most reliable leading indicators of future economic conditions.
10. The London Stock Exchange Started in a Coffee Shop
In the late 17th century, traders met at Jonathan’s Coffee House in London, which later evolved into the modern London Stock Exchange.
11. The Stock Market Isn’t Open All Day
The New York Stock Exchange operates only six-and-a-half hours daily (9:30 AM to 4 PM), while the London Stock Exchange runs from 8 am to 4:30 pm on weekdays, highlighting the relatively short window for trading.
12. Apple Was Once Nearly Bankrupt
Today Apple is the world’s most valuable company, but in 1997, it was close to bankruptcy, saved by a controversial investment from Microsoft.
13. The Stock Market Has Survived Numerous Crises
The stock market has endured wars, pandemics, economic crashes, and recessions. Despite volatility, the market has always recovered and gone on to reach new highs, proving resilience over time.
14. Diversification Is the Most Reliable Investment Strategy
History has shown that diversification consistently beats attempts to time the market or pick individual stocks. Spreading investments across asset types significantly reduces risk and increases long-term returns.
15. The Best Days Usually Follow the Worst
Historically, some of the stock market’s best single-day gains have followed immediately after major crashes or downturns. Staying invested through tough times often leads to remarkable recoveries.
Final Thoughts
Understanding the stock market’s history, quirks, and insights helps investors remain calm, informed, and successful. These fascinating facts highlight the importance of patience, consistency, and disciplined investing.
What surprising facts about the stock market intrigue you the most? Let us know in the comments!
