# How MercadoLibre (MELI) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/meli
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on MELI alone. It places MELI (MercadoLibre, Inc.) against 20+ popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where MELI stands in the market, and of the alternatives worth a closer look.

Period covered: MELI's full trading record, from August 2007 through September 2026. The crash tests reach back to 2000 using older funds and the S&P 500. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** MELI is 28.1% below its high, bear-market territory, while the S&P 500 sits 1.3% below a record. Over the past 6 months, MELI rose 0.5% against 9.1% for the S&P 500 and 11.2% for the Nasdaq 100.
- **Stock or market?:** MELI rose 2.6% over the past 3 months, in line with the consumer discretionary sector ETF XLY (State Street Consumer Discretionary Select Sector SPDR ETF), which rose 1.0%. The S&P 500 rose 3.9%. Its e-commerce peers did not move as one over the past 3 months: SHOP (Shopify) rose 39.4%, while SE (Sea) fell 23.9%.
- **Past 1 to 3 years:** MELI has gone against the market, falling 10.6% over the past year while the S&P 500 rose 15.8%. The same gap shows up over 3 years (60.7% against 89.3%). The long record (ahead of 95% of the stocks worth at least $300 million over 10 years) has not carried into the past 3 years (ahead of 54% of them).
- **Long term:** MELI turned $10,000 into $110,000 over the past decade, against $42,100 in the S&P 500. Even so, the past 5 years only trailed the S&P 500 (17.2% against 81.7%), after a much stronger decade (1,002% against 321%).
- **In a crash:** Across six sell-offs, MELI has typically fallen 1.9 times as far as the S&P 500. In the 2022 bear market, MELI fell 51.6%, against 24.5% for the S&P 500. That was more than AMZN (Amazon.com, 39.6%) but less than SHOP (Shopify, 79.0%).
- **Diversification:** Against the S&P 500, MELI has a correlation of 0.48 over 5 years, more closely than 70% of stocks worth at least $300 million. Next to an index fund it is some diversification, but not a hedge.
- **Better options**
  - **Popular alternatives:** WMT (Walmart), AMZN (Amazon.com) and V (Visa) earned more than MELI with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 3.2% a year at 49.5%.
  - **Nearby categories and themes:** AAPL (Apple, digital payments theme) and MSFT (Microsoft, software) earned more than MELI with less volatility over the past 5 years. AAPL returned 18.5% a year at 28.0% volatility, against 3.2% a year at 49.5%.
  - **Whole market:** 1,697 of the 3,633 stocks and funds worth at least $500 million earned more than MELI with less volatility over the past 5 years, among them AAPL (Apple), GOOG (Alphabet) and MSFT (Microsoft).

## How much would $10,000 in MELI have grown?

This chart tracks a hypothetical $10,000 investment in MELI over the past 19 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of MELI over the same span and MELI's popular alternatives, among those that traded for the entire period.

- $10,000 invested in MELI at the end of September 2007 would have grown to $491,887 by September 2026, more than the $70,725 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of MELI, and NVDA finished highest, at $2,767,416.

## MELI at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- MELI is still 28.1% below its all-time high.
- MELI's deepest decline since it began trading in 2007 was 89.5%, from December 2007 to November 2008. It took 28 months from the low to climb back to its old high.
- Over 18 full calendar years, MELI's best was 2009, when it returned 216%, and its worst was 2008, when it lost 77.8%. It lost money in six of those years.

- Type: Stock, Consumer Discretionary (Specialty Retail)
- Trading since: August 10, 2007
- Market value: $95B
- Volatility (5 years): 49.5%; Sharpe ratio: 0.31
- Worst decline ever: −89.5%, from December 28, 2007 to November 20, 2008; back at its high by March 30, 2011

| Period | MELI total return |
| --- | --- |
| 1 month | +3.2% |
| 3 months | +2.6% |
| 6 months | +0.5% |
| year to date | −4.8% |
| 1 year | −10.6% |
| 3 years | +60.7% |
| 5 years | +17.2% |
| 10 years | +1,002% |

## MELI against the whole market

Where MELI ranks among every stock and fund, and what across the market has done better.

### How does MELI rank among all stocks?

This section ranks MELI on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- MELI's 10-year return ranks in the top 5% of the 2,202 stocks worth at least $300 million with 10 years of history.

| Measure | MELI | Rank |
| --- | --- | --- |
| 1-year return | −10.6% | 2,359 of 3,287 (top 72%) |
| 3-year return | +60.7% | 1,387 of 3,017 (top 46%) |
| 5-year return | +17.2% | 1,492 of 2,893 (top 52%) |
| 10-year return | +1,002% | 109 of 2,202 (top 5%) |
| Volatility, 5 years | 49.5% | 1,902 of 2,893 (top 66%) |
| Sharpe ratio, 5 years | 0.31 | 1,509 of 2,893 (top 53%) |
| Worst decline, past 10 years | −69.1% | 1,263 of 2,187 (top 58%) |

### What has beaten MELI on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 990 stocks and 707 ETFs worth at least $500 million sit in the green region: each earned more than MELI over the past 5 years with smaller price swings. That is 47% of the 3,633 screened.
- Among those with at least half MELI's swings, FIX has the best return for its risk: 77.0% a year at 46.7% volatility, 6% less than MELI's 49.5%, and a Sharpe ratio (return above cash per unit of volatility) of 1.46 against 0.31 for MELI.
- Among MELI's popular alternatives, WMT, FMX and V are in the region. WMT earned 20.8% a year against 3.2% a year for MELI, at 22.6% volatility, 54% less than MELI's 49.5%.

### Is there a better investment than MELI?

The table below lists investments that beat MELI over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among MELI's popular alternatives, WMT, AMZN and V earned more than MELI with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 3.2% a year at 49.5%.
- Looking beyond its popular alternatives, AAPL (digital payments theme) and MSFT (software) earned more than MELI with less volatility over the past 5 years. AAPL returned 18.5% a year at 28.0% volatility, against 3.2% a year at 49.5%.
- Across the whole market, 1,697 of the 3,633 stocks and funds worth at least $500 million earned more than MELI with less volatility over the past 5 years, among them AAPL, GOOG and MSFT.

The 15 strongest of 1,697 investments that beat MELI over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with MELI | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| MELI: MercadoLibre, Inc. (this page) |  | +3.2% | 49.5% | 0.31 | −69.1% | +1,002% |  |  |
| [LLY](https://easycompare.io/research/lly): Eli Lilly and Company | Pharmaceuticals | +40.7% | 32.8% | 1.21 | −34.5% | +1,807% | 0.09 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [ASML](https://easycompare.io/research/asml): ASML Holding N.V. | Semiconductor Equipment | +17.4% | 43.4% | 0.59 | −56.9% | +1,628% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | Semiconductors | +33.4% | 36.9% | 0.97 | −45.3% | +1,665% | 0.28 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [RY](https://easycompare.io/research/ry): Royal Bank of Canada | Banks | +17.3% | 18.2% | 0.97 | −40.0% | +352% | 0.38 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [CAH](https://easycompare.io/research/cah): Cardinal Health, Inc. | Health Care Distribution | +42.1% | 24.7% | 1.55 | −46.1% | +349% | 0.32 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| COKE: Coca-Cola Consolidated, Inc. | Food & Beverages | +41.2% | 38.0% | 1.10 | −51.7% | +1,569% | -0.08 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods; Smaller losses in recent crashes |
| [TSM](https://easycompare.io/research/tsm): Taiwan Semiconductor Manufacturing Company Limited | Semiconductors | +31.5% | 38.5% | 0.91 | −56.6% | +1,505% | 0.20 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VTI](https://easycompare.io/research/vti): Vanguard Morningstar Total Stock Market ETF | US Total Market | +11.5% | 17.5% | 0.71 | −35.0% | +302% | 0.49 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [VOO](https://easycompare.io/research/voo): Vanguard S&P 500 ETF | US Large-Cap Equity | +12.8% | 16.9% | 0.80 | −34.0% | +324% | 0.48 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [XOM](https://easycompare.io/research/xom): Exxonmobil Holdings Corporation | Integrated Oil & Gas | +27.1% | 26.5% | 1.04 | −61.0% | +214% | 0.02 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [JPM](https://easycompare.io/research/jpm): JPMorgan Chase & Co. | Banks | +17.3% | 24.3% | 0.78 | −43.6% | +537% | 0.36 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [ABBV](https://easycompare.io/research/abbv): AbbVie Inc. | Pharmaceuticals | +26.1% | 23.4% | 1.11 | −45.1% | +603% | -0.01 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [HSBC](https://easycompare.io/research/hsbc): HSBC Holdings plc | Banks | +33.1% | 25.9% | 1.24 | −62.3% | +319% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [JNJ](https://easycompare.io/research/jnj): Johnson & Johnson | Pharmaceuticals | +12.7% | 17.9% | 0.76 | −27.4% | +196% | 0.02 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| DXJ: WisdomTree Japan Hedged Equity Fund | International Equity | +26.6% | 19.1% | 1.34 | −39.1% | +428% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## MELI against its popular alternatives

The investments people most often weigh against MELI, compared period by period and year by year.

### How do MELI's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- 14 of the 20 popular alternatives earned less than MELI over the past 5 years while swinging more, the weaker corner of the map.
- Six of the 20 popular alternatives, led by WMT, FMX and V, were both more rewarding and calmer than MELI over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, MELI returned 3.2% a year, less than the S&P 500's 12.7%, with higher volatility (49.5% against 17.1%).

### Has MELI consistently beaten its popular alternatives?

This section compares MELI with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Six of the 21 popular alternatives, led by SHOP, MA and V, outperformed MELI in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- WMT, FMX and V earned more for the risk they took than MELI (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of MELI | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| MELI: MercadoLibre, Inc. (this page) | −10.6% | +60.7% | +17.2% | +1,002% |  |  | 0.31 |
| [SHOP](https://easycompare.io/research/shop): Shopify Inc. | +5.3% | +239% | +16.6% | +3,916% | 5/5 short-term, 2/3 long-term | consistent | 0.38 |
| [MA](https://easycompare.io/research/ma): Mastercard Incorporated | +10.3% | +64.3% | +79.2% | +541% | 5/5 short-term, 2/3 long-term | consistent | 0.61 |
| [V](https://easycompare.io/research/v): Visa Inc. | +19.0% | +78.2% | +82.5% | +429% | 5/5 short-term, 2/3 long-term | consistent | 0.64 |
| [EBAY](https://easycompare.io/research/ebay): eBay Inc. | +28.3% | +213% | +74.2% | +374% | 5/5 short-term, 2/3 long-term | consistent | 0.50 |
| [AMZN](https://easycompare.io/research/amzn): Amazon.com, Inc. | +21.3% | +110% | +53.8% | +548% | 4/5 short-term, 2/3 long-term | consistent | 0.42 |
| [WMT](https://easycompare.io/research/wmt): Walmart Inc. | +11.0% | +130% | +158% | +508% | 4/5 short-term, 2/3 long-term | consistent | 0.96 |
| W: Wayfair Inc. | +36.6% | +159% | −54.2% | +213% | 5/5 short-term, 1/3 long-term |  | 0.21 |
| PAGS: PagSeguro Digital Ltd. | +38.4% | +73.1% | −66.9% | — | 5/5 short-term, 1/3 long-term |  | -0.07 |
| [FMX](https://easycompare.io/research/fmx): Fomento Económico Mexicano, S.A.B. de C.V. | +44.0% | +53.7% | +92.9% | +79.7% | 4/5 short-term, 1/3 long-term |  | 0.64 |
| [NU](https://easycompare.io/research/nu): Nu Holdings Ltd. | −2.1% | +84.7% | — | — | 3/5 short-term, 1/3 long-term |  | — |
| [SE](https://easycompare.io/research/se): Sea Limited | −51.5% | +80.3% | −77.7% | — | 0/5 short-term, 1/3 long-term |  | -0.14 |
| ETSY: Etsy, Inc. | +22.5% | +34.7% | −62.5% | +511% | 5/5 short-term, 0/3 long-term |  | -0.08 |
| DLO: Dlocal Limited | +2.5% | −10.3% | −69.4% | — | 5/5 short-term, 0/3 long-term |  | 0.04 |
| STNE: StoneCo Ltd. | −21.7% | +46.8% | −63.0% | — | 3/5 short-term, 0/3 long-term |  | 0.02 |
| GLOB: Globant S.A. | −28.3% | −76.9% | −86.5% | −5.9% | 2/5 short-term, 0/3 long-term |  | -0.48 |
| CHWY: Chewy, Inc. | −42.5% | +28.2% | −67.3% | — | 1/5 short-term, 0/3 long-term |  | -0.07 |
| JD: JD.com, Inc. | −18.0% | +20.2% | −64.3% | +14.4% | 0/5 short-term, 0/3 long-term |  | -0.14 |
| [BABA](https://easycompare.io/research/baba): Alibaba Group Holding Limited | −36.8% | +44.5% | −34.8% | +11.2% | 0/5 short-term, 0/3 long-term |  | 0.08 |
| VIPS: Vipshop Holdings Limited | −29.1% | −2.1% | +14.8% | +3.7% | 0/5 short-term, 0/3 long-term |  | 0.31 |
| CPNG: Coupang, Inc. | −54.8% | −18.9% | −50.3% | — | 0/5 short-term, 0/3 long-term |  | -0.01 |
| [PDD](https://easycompare.io/research/pdd): PDD Holdings Inc. | −38.0% | −20.6% | −17.9% | — | 0/5 short-term, 0/3 long-term |  | 0.26 |

### How did MELI do year by year?

This table shows each investment's total return in every full calendar year since 2008, along with where MELI ranked among its popular alternatives each year.

- Among its popular alternatives, SHOP came out ahead of MELI most often, in eight of the ten years both traded.
- Ranked against its popular alternatives each year, MELI finished in the top quarter in eight of 18 years and in the bottom quarter in two. In 2025, it ranked 13 of 22.
- MELI finished ahead of the S&P 500 in 11 of its 18 full calendar years.

| Year | MELI | SPY |
| --- | --- | --- |
| 2025 | +18.4% | +17.7% |
| 2024 | +8.2% | +24.9% |
| 2023 | +85.7% | +26.2% |
| 2022 | −37.2% | −18.2% |
| 2021 | −19.5% | +28.7% |
| 2020 | +193% | +18.3% |
| 2019 | +95.3% | +31.2% |
| 2018 | −6.9% | −4.6% |
| 2017 | +102% | +21.7% |
| 2016 | +37.1% | +12.0% |

## Risk and diversification

How MELI has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were MELI's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- In all five of MELI's worst declines, the S&P 500 held up better over the same dates.
- Not every decline was the market's doing: MELI fell 69.1% from January 2021 to June 2022, while the S&P 500 slipped only 2.9%.
- The slowest recovery came after MELI fell 89.5% from December 2007 to November 2008; it did not regain that peak until March 2011, two years later.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −89.5% | December 28, 2007 | November 20, 2008 | March 30, 2011 | −48.0% | 2008 financial crisis |
| −69.1% | January 20, 2021 | June 16, 2022 | August 15, 2024 | −2.9% | 2022 bear market |
| −46.2% | May 2, 2011 | October 3, 2011 | December 6, 2011 | −18.5% | 2011 euro debt crisis |
| −43.5% | May 4, 2015 | February 9, 2016 | July 20, 2016 | −10.8% | 2015 China and oil sell-off |
| −43.5% | October 21, 2013 | May 20, 2014 | April 29, 2015 | +8.6% |  |

### How did MELI do in stock market crashes?

This section measures how far MELI, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- MELI fell further than the S&P 500 in eight of the nine crashes it has traded through. The clearest case was the 2008 financial crisis, when MELI fell 89.5% and the S&P 500 fell 55.2%.
- Among its popular alternatives, BABA held up best, falling less than MELI in all six crashes they both traded through.
- MELI began trading after the dot-com bust, but four of its popular alternatives lived through it. The mildest fall among them was WMT's 31.8%, against 47.5% for the S&P 500.

| Crash | Dates | MELI fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | not trading | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −89.5% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | 0.0% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −39.5% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −31.9% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −8.8% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −30.3% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −39.1% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −51.6% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −7.2% | −3.4% |

### How closely does MELI move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- Over the past 10 years, MELI captured 135% of the S&P 500's gains in rising months and 111% of its losses in falling months, with a beta of 1.44. It amplified the market's moves in both directions.
- Only WMT had a higher capture ratio (upside capture divided by downside capture) than MELI's 1.21, out of 13 popular alternatives with the same record.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| MELI: MercadoLibre, Inc. (this page) | 135% | 111% | 1.44 |
| [SHOP](https://easycompare.io/research/shop): Shopify Inc. | 233% | 203% | 2.09 |
| [MA](https://easycompare.io/research/ma): Mastercard Incorporated | 105% | 88.0% | 0.95 |
| [V](https://easycompare.io/research/v): Visa Inc. | 93.0% | 79.0% | 0.87 |
| [EBAY](https://easycompare.io/research/ebay): eBay Inc. | 113% | 133% | 1.23 |
| [AMZN](https://easycompare.io/research/amzn): Amazon.com, Inc. | 134% | 139% | 1.31 |
| [WMT](https://easycompare.io/research/wmt): Walmart Inc. | 74.0% | 36.0% | 0.53 |
| W: Wayfair Inc. | 230% | 356% | 3.06 |
| [FMX](https://easycompare.io/research/fmx): Fomento Económico Mexicano, S.A.B. de C.V. | 50.0% | 63.0% | 0.72 |
| ETSY: Etsy, Inc. | 133% | 148% | 1.76 |
| GLOB: Globant S.A. | 91.0% | 188% | 1.16 |
| JD: JD.com, Inc. | 51.0% | 92.0% | 0.57 |
| [BABA](https://easycompare.io/research/baba): Alibaba Group Holding Limited | 74.0% | 140% | 0.65 |
| VIPS: Vipshop Holdings Limited | 39.0% | 81.0% | 0.63 |

### What diversifies MELI?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in MELI into DXJ would have cut the portfolio's volatility by 19% over the past 5 years and raised its annual return (+0.6% for MELI alone, +6.8% for the mix).
- FIX made money in five of the six calendar years in which MELI lost money.
- Among large ETFs, LVHI, DXJ and EMLP have moved largely independently of MELI over the past 5 years, with correlations of 0.30 or lower, and each still earned a positive 5-year return.

| Investment | Correlation with MELI | 5Y return | Volatility | Sharpe | Rose in MELI's 6 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.30 | +119% | 11.1% | 1.48 | 2 of 6 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.14 | +225% | 19.1% | 1.34 | 4 of 6 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.29 | +101% | 14.5% | 1.04 | 2 of 6 |
| HDV: iShares Core High Dividend ETF | 0.29 | +83.3% | 13.0% | 1.00 | 3 of 6 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.28 | +323% | 36.9% | 0.97 | 2 of 6 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | 0.46 | +85.0% | 13.8% | 0.96 | 3 of 6 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.15 | +126% | 18.9% | 0.96 | 2 of 6 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.30 | +136% | 20.8% | 0.93 | 1 of 6 |

## Common questions

### What was MELI's worst drawdown?

MELI's deepest decline since it began trading in 2007 was 89.5%, from December 2007 to November 2008. It took 28 months from the low to climb back to its old high. Because MELI launched in August 2007, that record does not include the dot-com bust.

### What were MELI's best and worst years?

Over 18 full calendar years, MELI's best year was 2009, when it returned 216%. Its worst was 2008, with a return of -77.8%.

### Is there a better investment than MELI?

Among MELI's popular alternatives, WMT, AMZN and V earned more than MELI with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 3.2% a year at 49.5%. Looking beyond its popular alternatives, AAPL (digital payments theme) and MSFT (software) earned more than MELI with less volatility over the past 5 years. AAPL returned 18.5% a year at 28.0% volatility, against 3.2% a year at 49.5%.

### Is MELI more volatile than the S&P 500?

Yes. MELI's volatility over the past 5 years was 49.5%, 2.9 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, MELI's return lands within 49.5% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is MELI's Sharpe ratio?

MELI's Sharpe ratio over the past 5 years was 0.31, against 0.79 for the S&P 500, so MELI earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is MELI with the S&P 500?

Over the past 5 years, MELI's monthly returns had a correlation of 0.48 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They often move together: some diversification next to an index fund, but not a cushion. In the table, the correlation column measures each option against MELI instead: the lower it is, the more that option would diversify a MELI holding.

### What are the best alternatives to MELI?

Of the 21 popular alternatives we compared, six outperformed MELI in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: SHOP, MA and V.

### Did MELI outperform the S&P 500?

MELI finished ahead of the S&P 500 (SPY) in 11 of 18 full calendar years. In 2025, it returned +18.5%, against +17.7% for the index.

### How did MELI do in stock market crashes?

MELI fell less than the S&P 500 (SPY) in one of the nine major crashes it has traded through, and further in eight. The clearest case was the 2008 financial crisis, when MELI fell 89.5% and the S&P 500 fell 55.2%.

### What diversifies MELI?

These had a low correlation with MELI over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.30), DXJ (correlation 0.14) and EMLP (correlation 0.29); among large stocks, CAH (correlation 0.32), CLS (correlation 0.20) and FIX (correlation 0.14). A correlation near zero means the two have moved largely independently.

## More research

- [Shopify (SHOP) Performance, Alternatives and Market Rank](https://easycompare.io/research/shop)
- [Mastercard (MA) Performance, Alternatives and Market Rank](https://easycompare.io/research/ma)
- [Visa (V) Performance, Alternatives and Market Rank](https://easycompare.io/research/v)
- [EBAY Performance, Alternatives and Market Rank](https://easycompare.io/research/ebay)
- [Amazon.com (AMZN) Performance, Alternatives and Market Rank](https://easycompare.io/research/amzn)
- [Walmart (WMT) Performance, Alternatives and Market Rank](https://easycompare.io/research/wmt)
- [Fomento Económico Mexicano, S.A.B. de C.V. (FMX) Performance, Alternatives and Market Rank](https://easycompare.io/research/fmx)
- [NU Performance, Alternatives and Market Rank](https://easycompare.io/research/nu)
- [Sea (SE) Performance, Alternatives and Market Rank](https://easycompare.io/research/se)
- [Alibaba Group Holding (BABA) Performance, Alternatives and Market Rank](https://easycompare.io/research/baba)
- [PDD Performance, Alternatives and Market Rank](https://easycompare.io/research/pdd)
- [Schwab U.S. Dividend Equity ETF (SCHD) Performance, Alternatives and Market Rank](https://easycompare.io/research/schd)

## Explore further

- Full page with charts: https://easycompare.io/research/meli
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against MELI live: https://betterthanspy.com/?b=MELI&utm_source=easycompare&utm_medium=research