All Ordinaries Index: A Comprehensive History of Australia's Benchmark
The All Ordinaries (All Ords) serves as a primary indicator of the Australian equity market's performance. By tracking the value of a broad range of companies, it provides investors and economists with a snapshot of the nominal value of stocks in Australian dollars over several decades.
To understand the index, one must first look at its base value. When established, the All Ords had a base index of 500. This means that if the index reaches 5,000 points, the nominal value of the constituent stocks has increased tenfold since January 1980.
[ไม่มีภาพประกอบ]
Key Facts
- Base Value: Established at 500 points in January 1980.
- Composition: Restructured on 3 April 2000 to include the 500 largest companies by market capitalisation (the total market value of a company's outstanding shares).
- All-Time High: Closed above 9,000 points for the first time on 16 October 2025, reaching 9,068.40.
- Major Volatility: Experienced a significant 54% drop from its November 2007 high to a low of 3,111.7 points in March 2009.
Evolution and Structural Changes
For many years, the All Ordinaries was the definitive benchmark for the Australian market. However, on 3 April 2000, the index underwent a significant restructuring to focus on the 500 largest companies by market capitalisation. This change coincided with the launch of newer benchmark indices, most notably the S&P/ASX 200.
While the All Ordinaries remains a vital record of market breadth, the introduction of these more concentrated indices has lessened its relative importance in daily trading and institutional benchmarking.
Market Performance and Historical Milestones
The trajectory of the All Ordinaries reflects the broader economic cycles of the global and Australian economies. The index reached a pre-crisis peak of 6,873.20 on 31 October 2007, before the onset of the 2008 financial crisis.
The subsequent turmoil, driven by the subprime mortgage crisis, saw the index plummet to 5,222.0 points by 22 January 2008—a 24% decline. The downturn bottomed out on 6 March 2009 at 3,111.7 points. Recovery began shortly after, with the index rebounding to 4,568.5 points by 14 September 2009, a 46.8% increase from its March low.
The following years were marked by gradual recovery and new milestones:
- 2013: Passed the 5,000-point mark on 13 February.
- 2017: Surpassed 6,000 points on 1 November.
- 2020: Closed above 7,000 points for the first time on 10 January.
- 2024: Closed above 8,000 points for the first time on 1 March.
- 2025: Achieved a record close of 8,825.10 on 14 February, following an intra-day high of 8,882.70, and eventually closed above 9,000 points on 16 October.
Annual Returns Data
The long-term development of the index shows significant volatility, with notable growth periods in the late 1960s, 1980s, and the post-2009 recovery era.
| Year | Closing Level | Point Change | Percentage Change |
|---|---|---|---|
| 1963 | 244.80 | - | - |
| 1979 | 500.00 | 133.90 | 36.57% |
| 1987 | 1,320.00 | -153.10 | -10.39% |
| 2000 | 3,154.70 | 2.20 | 0.07% |
| 2008 | 3,659.30 | -2,761.70 | -43.01% |
| 2009 | 4,882.71 | 1,223.41 | 33.43% |
| 2019 | 6,802.40 | 1,093.00 | 19.14% |
| 2025 | 9,018.80 | 598.30 | 7.1% |
Frequently Asked Questions
What does a base index of 500 mean for the All Ordinaries?
It serves as the starting reference point from January 1980. If the index is at 5,000, it indicates that the nominal value of the stocks has increased ten times over since that date.
How did the 2008 financial crisis affect the index?
The index fell from a high of 6,873.20 in October 2007 to a low of 3,111.7 points in March 2009, representing a 54% decrease from its peak.
When did the All Ordinaries first exceed 9,000 points?
The index closed above 9,000 points for the first time on 16 October 2025, finishing at 9,068.40.
Why is the All Ordinaries less important than it used to be?
Its importance decreased following the restructuring on 3 April 2000 and the introduction of newer, more specific benchmark indices like the S&P/ASX 200.
What was the biggest single-day fall mentioned in recent history?
On 5 August 2011, the index fell 4.6% in one day to 4,159 points, which was the largest single-day drop since the subprime mortgage crisis.