This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Europe, Latin America Gain on U.S. in Wealth

BOSTON ( TheStreet) -- North America is no longer the world's richest region, dragged down by the financial crisis that began in New York and rippled across the country.

The U.S., Canada and Mexico were deposed by Europe, which had tighter controls on credit lending and securities trading. Latin America was the only region in which wealth increased.

Americans had more than $1 trillion erased from their retirement accounts from the stock-market crash, and esteemed global banks including Citigroup (C - Get Report), Bank of America (BAC - Get Report), Goldman Sachs (GS - Get Report) and JPMorgan Chase (JPM - Get Report) accepted government bailouts as the Obama administration tripled the nation's debt to pull the country out of the worst economic slump in more than seven decades.

Boston Consulting Group's findings are detailed in Delivering on the Client Promise: Global Wealth 2009, a report released Sept. 15, one year to the day of Lehman Brothers' bankruptcy. The credit crunch coincided with a recession that started about 10 months earlier, delivering a punch to the banking, real estate, automotive and retail industries, and prompting a doubling of the unemployment rate over two years.

Boston Consulting Group estimates that global wealth fell from $104.7 trillion in 2007, measured in individuals' assets under management, to $92.4 trillion in 2008, a decline of 11.7%. It was the first drop since 2001, also a year in which a recession and stock-market freeze occurred at the same time.

Europe had $32.7 trillion in assets under management at the end of last year, down 5.8% from 2007, followed by North America, with $29.3 trillion, a decrease of 21.8%. Latin America, buoyed by a commodities boom, was the only region where wealth increased, by 3%.
1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
BAC $16.30 1.50%
C $53.03 1.40%
GS $187.47 1.70%
JPM $64.03 1.80%
PBR $5.64 11.00%

Markets

Chart of I:DJI
DOW 16,522.21 +236.70 1.45%
S&P 500 1,957.94 +17.43 0.90%
NASDAQ 4,741.7170 +44.1810 0.94%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs