Msci — World Backtest

Zero transaction costs, no taxes, perfect liquidity, monthly rebalancing to cap weights.

7/10 (Deducted points for survivorship bias, dividend tax ambiguity, and currency overhang) msci world backtest

Yes, but only alongside a Monte Carlo simulation and a rolling-window analysis. A single line from 1987 to 2026 is a trap. Zero transaction costs, no taxes, perfect liquidity, monthly

The index launched just before the 1987 Black Monday crash (-23% in one month). This is a critical reminder: even diversified global equity can crash simultaneously. Recovery took 22 months. The early 1990s recession and Gulf War saw flat returns. Zero transaction costs