MFSI Breaks Performance Record Set Last Month
During the month of February, the MFSI jumped by slightly more than 63 points; a rise of two-and-one-quarter percent. With this increase, the MFSI is at its highest reading of all time, shattering the old mark of 2,848 set just last month, and is almost 31% higher than it was just 12 months ago.

During the past month, the value of the S&P 500 with dividends reinvested increased by slightly more than one-quarter-of-one percent, and as a result it finds itself slightly more than 8% above where it was a year ago. Because the MFSI rose by about eight times as much as the S&P 500 with dividends during the month of February, the performance gap—or percentage difference—between the two indexes jumped from 145% in January to 150% in February, which is five percentage points higher than the previous all-time high of 145% set just last month. Despite the very strong 67% rise in the S&P 500 since its recent low set in October 2002, the MFSI has risen a staggering 104% during the same 41-month time period. In addition, the MFSI continues to dramatically outperform the S&P 500 over longer time periods, including the past four, five and six years. Since December 1998, the MFSI has risen by a whopping 191% while the S&P 500 with dividends reinvested has gained a meager 16%.

During the month of February, the price-to-earnings ratio (P/E) of the MFSI fell slightly and now stands at 18.02 while the dividend yield, defined as the total cash dividend payments divided by the current stock price, is 4.22%, which is a new low and the direct result of the recent rapid increase in the MFSI. The MFSI is an index of 25 publicly traded US headquartered firms, including 20 REITs, principally involved in multifamily ownership and management. [ return to top ]