POCKETBOOK: Week ending July 9, 2016

  • IMG_0204Ranges of the Top 1%

Life would be much simpler if facts were carved in stone–unchangeable. Something you could count on. Take to the bank.

But they’re not. So if you think that becoming a member in that elite sliver of 1 percenter’s lakes an income of $1,000,000 you’d be way off.

All it takes to be considered part of the 1% crowd, a family only needs an income of around $390,000. That’s it, according to CNNMoney.

But wait, there’s more: According to IRS, 1% status varies from state to state.

So, wanna be a Big Wig and live in Connecticut, the average income of  the 1% there  is $659,979. In Massachusetts the level is more than  $100,000 less; $539,055. In New York, $517,557.

Have an annual income of less than  $250,000 and you’d be in that 1% group if you live in West Virginia, Arkansas, or New Mexico.

•Market Quick Glance

 

Below are the YTD performances of various US indices ending Friday, July 8, 2016, according to Bloomberg. One-year performance figures are also included.

 

-Indices:

-Dow Jones +5.66% YTD

  • 1yr Rtn +4.93%

-S&P 500 +5.45%

  • 1yr Rtn +4.85%

NASDAQ -0.28% YTD

  • 1yr Rtn +0.53%

Russell 2000 +4.49 YTD 

1yr Rtn -4.52%

If you’re looking for future guidance in today’s current market, perhaps Bob Dole, senior portfolio manager at Nuveen Asset Management said it best. In  a Bloomberg interview he  said we are in a period of “more muddle thorough.”

I believe he has hit the nail on the head.

-Mutual funds

Through Thursday, July 7, 2016 the average U.S.Diversified Equity Fund was up 1.44 percent, according to Lipper.

Under this umbrella heading that included 8,403 equity funds, Equity Leverage Funds had an  impressive YTD average return of 13.02%. But don’t get too excited about hopping on this fund type train as performance can be seriously rocky. For example, a week ago the average fund here was down 0.7%. And, the average performance over the past 52 weeks  down  4.9%. But,  over the past 5 years, up 7%.

Screaming into the over 100% average performance return lane are Precious Metals Equity Funds. At Thursday’s close the average one under this heading was up 115.54%. Miles behind it, but definitely with serious returns, are Commodities Precious Metals Fund, up 29.52%.

Leaving Sector Funds and  among  World Equity Funds,  Latin American Funds are up an impressive 22.61.% YTD.

Visit www.allaboutfunds.com for weekly updates to see how various equity and fixed-income funds have rewarded investors over the short-and long-term, based upon Lipper data. Short-term meaning weekly and monthly performance returns; longer-term includes quarterly, year-to-date, 1-yr, 2-yr, 3-yr and 5-yr returns.

Lipper’s weekly performance figures for stock and fixed-income funds are at www.allaboutfunds.com in the left column on the home page.

•Daily Improvements

Benjamin Franklin was no slouch. He was a statesman, author, inventor, etc. who left us with oh-so much including a simple prescription for how to live a productive life.

Anyone who wants to make a  brilliant difference in the world, as Franklin did, might want to follow the disciplined habits of his daily life.

According to a post at Inc.com by Michael Simmons, Franklin got up early and spent one hour every day reading/learning. He also set goals, hung out with like-minded artisans and tradesmen, turned his ideas into experiences and spent time each day in reflection.

Amazing how simple habits can reward us.

-30-

 

 

 

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