Facts That Make a Difference
1. THE PANIC OF 2008- The 2 worst performing months for the S&P 500 during calendar year 2008 were September (down 8.9% on a total return basis) and October (down 16.8%), combining for a loss of 24.2% over the 2 months. The stock index fell 37.0% last year. The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the US stock market (source: Standard & Poor’s).
2. BUSINESS DEFAULTS - More than $450 billion of US corporate debt has defaulted YTD in 2009, more than the $433 billion that defaulted in all of calendar year 2008. Only $7 billion of US corporate bonds defaulted in 2006 (source: Financial Times, S&P).
3. BAD TREND - At the end of 2007, 6% of mortgages had at least 1-payment past due and another 2% of mortgages were in the foreclosure process. At the end of 2008, 8% of mortgages had at least 1-payment past due and another 3% of mortgages were in the foreclosure process. At the end of June 2009, 9% of mortgages had at least 1-payment past due and another 4% of mortgages were in the foreclosure process (source: Mortgage Bankers Association).
4. JUST SEVEN STATES - 67% of the foreclosure filings reported on properties nationwide in July 2009 occurred in the 7 states of California, Florida, Arizona, Nevada, Illinois, Texas and Georgia (source: RealtyTrac).
5. MANAGING CREDIT- 46% of American families do not pay their outstanding credit card balance each month. This data is part of the 2007 Survey of Consumer Finances collected by the Federal Reserve and was released in June 2009 (source: Federal Reserve).
6. 401k’s - 81% of employers believe that an employer-sponsored 401(k) plan is either somewhat important or very important as a benefit for the employees of their firms (source: Transamerica Retirement Survey).
7. SHAKE YOUR HIPS - Hip replacement surgery in the USA costs $50,000. The same surgery costs $8,000 in India, $12,500 in Costa Rica and $13,125 in Mexico (source: Global Heathcare Association).
2. BUSINESS DEFAULTS - More than $450 billion of US corporate debt has defaulted YTD in 2009, more than the $433 billion that defaulted in all of calendar year 2008. Only $7 billion of US corporate bonds defaulted in 2006 (source: Financial Times, S&P).
3. BAD TREND - At the end of 2007, 6% of mortgages had at least 1-payment past due and another 2% of mortgages were in the foreclosure process. At the end of 2008, 8% of mortgages had at least 1-payment past due and another 3% of mortgages were in the foreclosure process. At the end of June 2009, 9% of mortgages had at least 1-payment past due and another 4% of mortgages were in the foreclosure process (source: Mortgage Bankers Association).
4. JUST SEVEN STATES - 67% of the foreclosure filings reported on properties nationwide in July 2009 occurred in the 7 states of California, Florida, Arizona, Nevada, Illinois, Texas and Georgia (source: RealtyTrac).
5. MANAGING CREDIT- 46% of American families do not pay their outstanding credit card balance each month. This data is part of the 2007 Survey of Consumer Finances collected by the Federal Reserve and was released in June 2009 (source: Federal Reserve).
6. 401k’s - 81% of employers believe that an employer-sponsored 401(k) plan is either somewhat important or very important as a benefit for the employees of their firms (source: Transamerica Retirement Survey).
7. SHAKE YOUR HIPS - Hip replacement surgery in the USA costs $50,000. The same surgery costs $8,000 in India, $12,500 in Costa Rica and $13,125 in Mexico (source: Global Heathcare Association).
Comments