139) Santa Rally in FBM-KLCI?

139) Santa Rally in FBM-KLCI?

You must have heard about the theory on Santa or December rally in the stock market around the world. It is said that the Stock Market will increase in December.

Does this theory happen in the Kuala Lumpur FBM-KLCI index?

Let's do a simple analysis based on the past historical data. The data was compiled from graphs of the various years' returns from 1 to 31 December every year. The data starts from 2006 to 2018.

The accompanying Equity fund is just an example of a Unit Trust Equity fund.

 FBM-KLCI from 1 to 31 Dec 2018.

FBM-KLCI from 1 to 31 Dec 2017.

FBM-KLCI from 1 to 31 Dec 2016.

FBM-KLCI from 1 to 31 Dec 2015.

FBM-KLCI from 1 to 31 Dec 2014.

FBM-KLCI from 1 to 31 Dec 2013.

FBM-KLCI from 1 to 31 Dec 2012.  

FBM-KLCI from 1 to 31 Dec 2011.

FBM-KLCI from 1 to 31 Dec 2010.

FBM-KLCI from 1 to 31 Dec 2009.

FBM-KLCI from 1 to 31 Dec 2008.  

FBM-KLCI from 1 to 31 Dec 2007.

FBM-KLCI from 1 to 31 Dec 2006.  

Below is a Summary table of the FBM-KLCI returns in December from 2006 to 2018.

It shows that almost every year, the FBM-KLCI gave a positive returns in December, except in 2014 and 2018.

So, there are some truths in the Santa Rally for FBM-KLCI.