Dimensional’s Matrix Book is an annual review of global returns that highlight the power of compound investing.
Buried on page 74 is a chapter on “World Equity Market Capitalization,” listing the market capitalization of most of the world, country by country. No surprise, the U.S. is the global leader in stock market value. The $40 trillion in stock market wealth in the U.S. is almost 60% of the value of all the equities in the world.
Global market capitalization, by country
(in trillions, with % of global share)
1. U.S. – $40 trillion (59%)
2. Japan – $4.1t (6%)
3. U.K. – $2.6t (4%)
4. China – $2.5t (4%)
5. Canada – $2.1t (3%)
Here’s where it gets fun. My friend Ben Carlson pointed out that Apple’s current market capitalization of about $2.7 trillion this week exceeds the entire market capitalization of the United Kingdom, the third biggest stock market in the world… Apple is bigger than the entire U.K. stock market? Twice as big as all of Germany? That is amazing.
