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Chart Of The Day: Global Household Assets

Tyler Durden's picture




 

Shortly after posting the latest "balance sheet" of the US consumer we received requests to show how this looks in a global context, in other words, what do the balance sheets of the global households outside of the US look like. We show what this look like below, courtesy of the Bank of Japan, which presents the distribution of household financial assets in context then (5 years ago) and now. It also shows why whereas to Joe Sixpack the level of the S&P is the most important, with 32% of total assets in stocks, in Japan and in Europe, the average person could not care less where the stock market is, with just 6.5% and 14.7% of assets held in equities. The US E-Trade baby: keeping the Ponzi dream alive.

As a bonus, here is what the consolidated balance sheets of financial intermediaries in Japan, US and Europe look like. Here, once again, one can see the monster role that deposit-free shadow banking has played in the US as opposed to Europe and Japan, where deposits are orders of magnitude greater than in the US, and where, as a result, the threat of inflation is always much greater should the local central banks go "too far" with monetary easing (unlike in the US where the deleveraging of the deposit-free shadow bank system merely picks up the slack for the Fed's releveraging). For much more on shadow banking see here.

 

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Mon, 09/24/2012 - 09:13 | 2823922 GetZeeGold
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Global Household Assets

 

They want that crap too?

Mon, 09/24/2012 - 09:13 | 2823925 urbanelf
urbanelf's picture

Are PMs counted within "others" or are they not part of this survey?

Mon, 09/24/2012 - 09:15 | 2823930 dwdollar
dwdollar's picture

Anything real isn't counted.

Mon, 09/24/2012 - 09:18 | 2823937 krispkritter
krispkritter's picture

Mine are counted, under 'Losses - Boating Accidents'. 

Mon, 09/24/2012 - 09:23 | 2823961 GetZeeGold
GetZeeGold's picture

 

 

 

Boats and PM's do not mix......were the hell is Mayor Bloomberg when you need him?

 

 

Mon, 09/24/2012 - 09:32 | 2823986 Stuck on Zero
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Gold makes a fabulous keel weight for sailboats.  It's dense and doesn't corrode.

 

Mon, 09/24/2012 - 09:19 | 2823944 LULZBank
LULZBank's picture

They should be counting iPhones though.

Mon, 09/24/2012 - 10:19 | 2824148 killallthefiat
killallthefiat's picture

Other aqlso includes ammo and canned goods.

Mon, 09/24/2012 - 09:17 | 2823934 caimen garou
caimen garou's picture

sure does'nt look anything like my balance sheet!

Mon, 09/24/2012 - 11:33 | 2824434 Urban Redneck
Urban Redneck's picture

doesn't look like any balance sheet

when powerpoint becomes an acceptable substitution for for excel, then you know the thing is a fraud

Mon, 09/24/2012 - 09:20 | 2823948 JawsMusic
JawsMusic's picture

Where's the Gold Bitchez?

 

Mon, 09/24/2012 - 09:23 | 2823962 orangegeek
orangegeek's picture

When primary 3 down kicks in on the SP500, that "shares" slice of the pie is going to get much smaller.

 

http://bullandbearmash.com/chart/standard-poors-500-weekly-september-21-...

Mon, 09/24/2012 - 09:23 | 2823965 fuu
fuu's picture

That's a whole lot of paper.

Mon, 09/24/2012 - 09:37 | 2824003 Landotfree
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"threat of inflation is always much greater should the local central banks go "too far" with monetary easing"

Sorry but inflation of the global credit market has been dead since 2007, all you are seeing now is a dead cat bounce even after the greatest effort in the history of mankind was attempted.   Inflation of the US credit market is barely 2% annuallized.   It's called game over. 

 


Mon, 09/24/2012 - 09:36 | 2824004 Whoa Dammit
Whoa Dammit's picture

From the charts--Only 13% of US depository assets are loans compared to 24% in Japan & the Euro coutries. Gee our banks sure are helping our economy to recover, Thanks Ben for the unintended consequences of your policies & printing! 

Mon, 09/24/2012 - 09:43 | 2824013 Landotfree
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There is nothing Ben can do to stop the coming collapse.   Ben does not have the unlimited power to stop the powers of Math and the Universe.   At the end of the day the Fed's job is to hold off the collapse as long as possible, it's job is not to stop the collapse.... as that is impossible.  

Blaming Benny serves no purpose and is only an attempt to cover up the real problem... ie you live in a system that is not sustainable long-term unless you consider long-term less then 100 years.

All Benny can do is convince you lemmings the helicopters are coming... so that you continue to put the max potential amount of gas in the engine.... Benny can also grease the engine to help in the maintenance... but once max gas has been put in the engine... not much Benny can do but sit and watch the destruction like the rest of the lemmings.

Mon, 09/24/2012 - 10:01 | 2824076 odatruf
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landotfree - I think you are partly right. Much too much blame is heaped upon the Fed Chairman as if someone else in the position would do anything much different; they wouldn't.

But I don't think it is impossible to stop the collapse. It would require managing a decrease in expectations and a shift away from any policy that depends upon growth beyond the rate of innovation, population gain and resource extraction. Those are the barriers of the universe that are ignored.

Mon, 09/24/2012 - 10:08 | 2824100 Landotfree
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To avoid a collapse is an impossibility, unless you are entity with unlimited power.  The equation demands exponential growth, without exponential growth the equation starts to feed on the system itself.   Of course, in are limited view of the universe, all systems collapse, however the system hairless monkeys have put in place you are looking at 60-70 years give or take.   No way you could make it 100 years as the Math is unsustainable ie interest.  The outcome is already known.  The only question, just like all the other times before this one... is how many unfunded liabilities will have to be wiped from the books... my guess 1-3 billion, if nukes are used you can't rule out close to 100%.

The Architect - You are here because Zion is about to be destroyed. Its every living inhabitant terminated, its entire existence eradicated.


Neo - Bullshit.

*The responses of the other Ones appear on the monitors: "Bullshit!"*

The Architect - Denial is the most predictable of all human responses. But, rest assured, this will be the sixth time we have destroyed it, and we have become exceedingly efficient at it.

Mon, 09/24/2012 - 10:34 | 2824207 Stuck on Zero
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I think the Feds job is to steal as much public money as possible for the bankster billionaires.

 

Mon, 09/24/2012 - 10:55 | 2824258 RockyRacoon
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Sure would be nice to let Ben take on all the paper cargo his flotilla of banker pirate ships can upload -- and then cut them from the moorings to sink under the weight of their own ballast.  Not likely to happen with a Congress full of greedy, slippery eels.

Mon, 09/24/2012 - 10:58 | 2824280 JR
JR's picture

What motivation is there for denying the obvious; namely, that the deep debt, the leverage supporting a banker takeover of the federal government, was the deliberate transfer of wealth from citizens to the private, obscenely wealthy owners of the Federal Reserve? Not only is this denial just pure nonsense, the denial itself appears to be deliberate because our entire situation has been planned, executed and delivered by the Federal Reserve. And the evidence that it is deliberate is QE3 – an open ended descent into the depths of destruction.

WHO would dare to suggest that the Fed not only is not responsible but is unable to act against this destruction? How dare you throw in with these criminals at this late hour, on this precipice, this cliff, this edge of night from which we stand.  And here you are dragging in what must be only a few blind stragglers unaccustomed to the Big Lie and even the little lie that threatens to sink us all.

Surely, at this point, you would have the courage to say you’re sorry.

 

Mon, 09/24/2012 - 09:39 | 2824009 darteaus
darteaus's picture

Good thing they didn't include home "equity"!

Mon, 09/24/2012 - 09:57 | 2824062 odatruf
odatruf's picture

I wondered about that, too.

Mon, 09/24/2012 - 09:53 | 2824051 LawsofPhysics
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Turn paper promises into physical assets of real value as fast as you can.  Same as it ever was.

Mon, 09/24/2012 - 09:55 | 2824056 dolph9
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Until and unless precious metals begin to be recorded on charts like these, the bull market is intact.

Mon, 09/24/2012 - 10:57 | 2824273 banksterhater
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Tyler, please post the MEDIAN dollar amount( tell CRUDLOW it's different from "AVERAGE" ) in American's stock accounts, I believe it's close to $3500.00.

Mon, 09/24/2012 - 11:18 | 2824383 JR
JR's picture

I second your request.

Here are excerpts, not on what you ask, but How 401(k)s are failing millions of Americans posted April 20, 2012 by The Week:

Karen Friedman, of the Pension Rights Center in Washington, D.C., says "that 401(k)s have failed millions of Americans."
The average balance in all 50 million 401(k) accounts is just over $60,000, according to the Employee Benefit Research Institute. Even people within 10 years of retirement have saved an average of only $78,000, and more than a third of them have less than $25,000. More than half of U.S. workers have no retirement plan at all. With Social Security averaging $14,780 a year for individuals and $22,000 for couples, many Americans will exhaust their savings in just a few years. Since millions of boomers are likely to live into their 70s and 80s, the country is headed toward a major crisis…

In one recent survey, 43 percent of workers between the ages of 45 and 54 said they weren't currently saving for retirement at all. Very few 401(k) participants contribute the annual maximum of $17,000, and people tend to stop funding their retirement — or even borrow against balances — when they change jobs or have debts to pay. Most 401(k) account holders have little knowledge of how to manage stocks and bonds over decades to produce the best returns….

In 1980, 60 percent of private-sector workers with retirement plans had employer-paid pensions; by 2006, only 10 percent did, and 66 percent had 401(k)s. …

. The Employee Benefit Research Institute says the average earner will need $900,000 upon retirement…

Excessive management fees also play a role. Every day, Americans pay about $164 million in 401(k) fees to the financial industry. "There are enormous dollar amounts involved," said Frank Cirullo, a former plan consultant. "Employees are getting ripped off." Fees vary from plan to plan, and can run anywhere from 0.5 to 2 percent of assets per year. An extra 0.5 percent annual fee can cut an employee's savings by 10 percent by the time he's 65, according to Vanguard…

http://theweek.com/article/index/226886/how-401ks-are-failing-millions-of-americans

 

Mon, 09/24/2012 - 13:33 | 2824982 LMAOLORI
LMAOLORI's picture

 

 

Great post JR and just think all those American's with little in their own accounts are still expected to fund the public employee's retirements and healthcare along with the pigs in CONgress. In addition to the lifetime expenses/retirements for the ex-presidents who get filthy rich while serving and after the fact. And don't even get me started on the other theft from taxpayers for foreign aid and handouts for votes right here in America.

Mon, 09/24/2012 - 11:41 | 2824466 JR
JR's picture

Banksterhater, here is a clue as to why the answer to your question is so hard to find; it appears the answer to how much individuals invest in the stock market outside their retirement accounts is deliberately obfuscated.

For instance, here is how Gallup asks its biannual question to determine the “Percentage of Americans Investing in Stocks, April of Each Year, 1999-2011”:

“Do you, personally, or jointly with a spouse, have any money invested in the stock market right now – either in an individual stock, a stock mutual fund, or in a self-directed 401(k) or IRA?

Source: In U.S., 54% Have Stock Market Investments, Lowest Since 1999 |Gallup Economy

http://www.gallup.com/poll/147206/stock-market-investments-lowest-1999.aspx

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