Shocking Global Returns
The latest data on global stock market returns in 2025 gives a big surprise. When returns are seen in dollar terms, many countries have done much better than expected.
This data shows how different country ETFs performed over the full year, and the gap between winners and laggards is very clear.
India’s Weak Performance
India’s ETF, which trades in the US, gave a return of only about 0.9 percent for the year. This means India beat only a few countries like the Philippines, Turkey, and Saudi Arabia. Most other countries delivered higher returns, which makes India look weak for global investors right now.
Countries That Did Very Well
Some countries had very strong performance this year. South Korea gave around 82 percent returns. Many others like Peru, Greece, Spain, Poland, Colombia, Austria, South Africa, Chile, Mexico, Vietnam, Italy, Brazil, Finland, and Israel delivered more than 40 percent returns. Even smaller markets clearly moved ahead of India.
Money Follows Performance
In global markets, money usually goes where returns are strong. As long as certain countries keep performing well, investor money keeps flowing there. This year, even markets like Kuwait, Switzerland, Singapore, Qatar, and Vietnam beat India by a wide margin.
Market Rotation and Cycles
Markets do not move in a straight line. They work in cycles. When some countries underperform for a long time, chances improve that they may do better in the future. After a tough phase, India now has a better chance to move up to the middle or top part of the global return list.
Hope for Better Years Ahead
Over the long term, India’s average return has been around 12 to 13 percent, and in dollar terms close to 9 to 10 percent. After a weak period, some years can bring strong returns of 20 to 30 percent. The recent poor phase increases the chance of better performance ahead. The coming years may surprise investors in a positive way.
