Berkshire Hathaway vs S&P 500 Since 2000: Does Buffett Still Beat the Index?
BRK-B · SPY · Since 2000 · $1,000 split across each
The single most durable question in investing is whether a great stock picker beats a low-cost index over the long run. Warren Buffett is the strongest test case there is, and Berkshire Hathaway is the vehicle. Starting in 2000 puts the comparison across the dot-com bust, the 2008 crisis, and the long bull market since.
The honest version of this chart is not a victory lap. It shows Berkshire ahead over the full quarter century, but it also shows long stretches where the index kept pace or pulled ahead, especially once the megacap tech names came to dominate the S&P 500.
What the chart shows
Berkshire is ahead over the full 25 years
From a 2000 start, Berkshire finished ahead of the S&P 500 as of the latest close. Much of that edge was built in the 2000 to 2008 window, when Berkshire held up far better than an index still unwinding the dot-com bubble.
The last decade was closer than the reputation suggests
Since roughly 2010, the S&P 500 has kept pace with or beaten Berkshire in many trailing windows, driven by the same handful of megacap tech names Berkshire was slow to own. The 2016 Apple purchase narrowed that gap.
Berkshire fell less in the crashes
In both 2008 and 2020, Berkshire drew down less than the index. Lower volatility is the quieter half of the Buffett record, and it is the part that never shows up in a single headline return number.
No dividend, by design
Berkshire pays no dividend and reinvests everything, so its price-only return is close to its total return. The S&P 500 line here is price-only too, which understates the index by roughly 2 percent a year in dividends. Add those back and the last decade tilts further toward the index.
Frequently asked questions
Has Berkshire beaten the S&P 500?
Over the full period since 2000, yes, on a price basis. Over the last 10 to 15 years the two are much closer, and once S&P 500 dividends are included the index closes most of the recent gap. The interactive tool shows any window.
Why use BRK-B and not BRK-A?
Berkshire B shares track the A shares at 1/1500th of the price and are what most investors actually buy. The percentage returns are effectively identical.
Does this account for S&P 500 dividends?
No. The SPY line is price-only for an apples-to-apples comparison with Berkshire, which pays no dividend. Including reinvested S&P 500 dividends would add roughly 2 percent per year to the index and narrow Berkshire's lead.
Is Berkshire a good proxy for the market?
Partly. It is more concentrated and more insurance-heavy than the index, and its size now makes market-beating returns harder than in Buffett's earlier decades. Buffett himself has said future returns are likely to be closer to the index than the past.
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For informational and educational purposes only. Not financial advice. Past performance does not guarantee future results. All calculations are based on split-adjusted closing prices from Yahoo Finance and do not account for dividends, taxes, or trading fees. See our methodology and full disclaimer.