It is easy to find the return of the S&P 500, but it almost always comes in US dollars (USD). What return would a European investor have earned in euros (EUR)? And how much does the EUR/USD exchange rate change the result?
S&P 500 average annual return (EUR)
Over the 10 years to 31 December 2025, the S&P 500 delivered an average annual return of +13.95% in EUR, with dividends reinvested. In USD, the return over the same period was +14.82% per year, so the exchange rate cost European investors almost 0.9 percentage points per year.
In this table, you will find the return of the S&P 500 Total Return Index (dividends reinvested) converted into EUR, with no currency hedging, for periods ending on 31 December 2025:
| Period | Cumulative (EUR) | Annualised (EUR) | Annualised (USD) |
|---|---|---|---|
| 1 year (2025) | +4.23% | +4.23% | +17.88% |
| 3 years | +68.95% | +19.10% | +23.01% |
| 5 years | +104.87% | +15.42% | +14.43% |
| 10 years | +269.07% | +13.95% | +14.82% |
Source: calculated by Fintech Finder from the annual total returns of S&P Dow Jones Indices and the end-of-year euro reference rates of the European Central Bank.
In 2026, from 1 January to 21 September, the S&P 500 returned +16.99% in EUR (+14.40% in USD), as the dollar gained some ground against the euro.
Returns per calendar year:
| Year | Return (EUR) | Return (USD) |
|---|---|---|
| 2026 (to 21 September) | +16.99% | +14.40% |
| 2025 | +4.23% | +17.88% |
| 2024 | +32.97% | +25.02% |
| 2023 | +21.90% | +26.29% |
| 2022 | -13.04% | -18.11% |
| 2021 | +39.45% | +28.71% |
| 2020 | +8.39% | +18.40% |
| 2019 | +34.02% | +31.49% |
| 2018 | +0.15% | -4.38% |
| 2017 | +7.08% | +21.83% |
| 2016 | +15.63% | +11.96% |
| 2015 | +13.06% | +1.38% |
| 2014 | +29.14% | +13.69% |
| 2013 | +26.66% | +32.39% |
Source: S&P Dow Jones Indices (USD returns), Slickcharts (2026 year to date) and European Central Bank reference rates, via the Deutsche Bundesbank (EUR conversion).
The table shows how much the exchange rate matters in a single year. In 2025, the S&P 500 gained +17.88% in USD, but the dollar lost 11.6% against the euro, so a European investor earned only +4.23%. In 2024, the opposite happened: the dollar strengthened and the return in EUR (+32.97%) was higher than in USD (+25.02%).
What does this mean?
Using the 10-year period as an example: if a European investor had put €1,000 in the S&P 500 at the end of 2015, the investment would have been worth about €3,691 at the end of 2025, with dividends reinvested and before fees and taxes.
You cannot invest directly in an index, so you would need an ETF that tracks the S&P 500. With an annual cost of around 0.07% to 0.10%, your actual return would have been slightly lower. See our guide on how to invest in the S&P 500 from Europe.
We assume that the investor did not use currency hedging, which means the investment was fully exposed to movements in the EUR/USD exchange rate. Over these 10 years, the dollar lost 7.3% against the euro (from 1.0887 to 1.1750 dollars per euro), which lowered the return for European investors.
Calculation methodology
First, we took the annual total returns of the S&P 500 (price changes plus reinvested dividends) in USD, published by S&P Dow Jones Indices.
Second, we used the end-of-year euro reference rates published by the European Central Bank, which show how many US dollars one euro buys.
Then, for each year, we converted the USD return into EUR with this formula:
Return in EUR = (1 + return in USD) × (EUR/USD at the start of the year ÷ EUR/USD at the end of the year) − 1
For example, in 2025: (1 + 17.88%) × (1.0389 ÷ 1.1750) − 1 = +4.23%.
Finally, we compounded the yearly returns in EUR to get the cumulative and annualised returns over 1, 3, 5 and 10 years.
Common questions
What is the average annual return of the S&P 500 in euros?
Over the 10 years to 31 December 2025, the S&P 500 returned +13.95% per year in EUR, compared with +14.82% per year in USD, with dividends reinvested.
Why was the S&P 500 return in euros so low in 2025?
Because the US dollar lost 11.6% against the euro in 2025 (from 1.0389 to 1.1750 dollars per euro). The index gained +17.88% in USD, but converted into euros the return was only +4.23%.
Should European investors hedge the currency?
Some S&P 500 ETFs offer EUR-hedged share classes, which remove most of the exchange-rate effect but usually cost a bit more. Over long periods, the currency effect tends to be smaller than the stock market’s own return, but it can make a big difference in a single year, as 2025 shows. This is not investment advice.
Bottom line
For a European investor, the return of the S&P 500 depends on two things: the performance of the index and the EUR/USD exchange rate. Over the last 10 years, the S&P 500 delivered close to 14% per year in euros, slightly less than in dollars, but individual years can differ a lot, as 2025 (+4.23% in EUR vs +17.88% in USD) shows. For the figures in dollars, see our article on the S&P 500 average annual return in USD.
Did you find any inaccurate information? Please let us know!
Disclaimer: This article is for information only and is not investment advice. Past performance doesn’t guarantee future results, and when investing your capital is at risk.
Franklin has three years of experience in Wealth Management as a Fund Research Analyst, has passed the CFA level II, and is the host of the "Edge Over Hedge" YouTube channel.
