DOW JONES WILSHIRE 5000SM SUFFERS WORST
JANUARY-JUNE PERFORMANCE SINCE 1974
Broad Market Index Drops Nearly 11 Percent in Six Months
SANTA MONICA, CA, July 7, 2008 - The Dow Jones Wilshire 5000 IndexSM the broadest measure of the United States markets,
dropped -10.92 percent during the first six months of 2008, its worst first-half year return since a -12.59 percent drop in the first
half of 1974, according to Wilshire Associates Incorporated, a leading global investment services and consulting firm.
"The DJ Wilshire 5000 shrugged off a -8.14 percent return in June, its worse monthly loss since September 2002, to hold its
mid-March lows with a 2.47 percent gain since March 10, 2008. However, despite avoiding its March lows, the DJ Wilshire 5000 closed
June with a -16.17 percent retreat since its October 2007 high," said Steven J. Foresti, managing director of Wilshire Associates and
head of the Investment Research Group of Wilshire Consulting.
Small- and mid-capitalization stocks held up well during the quarter with the DJ Wilshire 4500 Index returning 2.19 percent, versus a
-1.76 percent decline for the DJ Wilshire Large-Cap Index. Large value stocks suffered the heaviest losses due to their significant
exposure to Financials; with the DJ Wilshire Large Value Index down -9.96 percent in June and -6.59 percent for the quarter.
"The relative quarterly performance of industries encapsulated a general economic trend that has been in place since last year;
commodity-based stocks, benefiting from a sharp increase in commodity prices, performed best," Foresti said. "Oil & Gas and Basic
Materials led all groups with quarterly gains of 18.07 percent and 13.90 percent, respectively. Conversely, consumer stocks were
hurt by the inflationary tax at the pumps and grocery store, driving the Consumer Goods industry down -8.65 percent. Only Financials
did worse with a -15.43 percent return for the quarter, bringing their slide over the past year to -37.16 percent," he noted.
"Meanwhile the United States Federal Reserve, caught between a slowing economy and signals that investor expectations of inflation
are drifting higher, stayed pat on interest rates in their June meeting. Markets responded to the Fed's inaction and statement with a
Bronx cheer, as the DJ Wilshire 5000 pulled back -3.11 percent in the two trading days following the Fed's dovish stance," Foresti
concluded.
Equity investors had few places to hide as the DJ Wilshire Global ex-US Index underperformed the U.S. market by 0.27 percent in
June, posting a -8.41 percent return for the month.
AT A GLANCE: U.S., REGION AND WORLD STATISTICS
| INDEX NAME* |
Index Close |
Point Change
MTD |
Percent Change
MTD |
YTD |
1-Year |
3-Year |
5-Year |
| DJW 5000 |
13016.38 |
-1177.30 |
-8.14% |
-10.92% |
-12.53% |
5.01% |
8.73% |
| DJW Global TMI |
2727.47 |
-251.86 |
-8.30% |
-10.72% |
-9.65% |
10.68% |
14.18% |
| DJW Global exUS Index |
2426.18 |
-227.31 |
-8.41% |
-10.60% |
-7.55% |
15.82% |
19.47% |
| DJW Developed Europe Index |
3349.42 |
-326.68 |
-8.69% |
-11.86% |
-11.62% |
14.56% |
18.18% |
| DJW Emerging Europe Index |
2072.32 |
-63.57 |
-7.30% |
-5.76% |
11.54% |
28.68% |
N/A |
| DJW Asia/Pacific Index |
1365.29 |
-141.30 |
-9.26% |
-13.65% |
-9.61% |
13.10% |
17.13% |
| DJW Latin America Index |
10157.04 |
-865.16 |
-7.79% |
8.93% |
22.58% |
41.81% |
52.02% |
| DJW Middle East & Africa Index |
3194.86 |
-202.28 |
-5.74% |
-10.31% |
-1.52% |
20.70% |
29.02% |
DOW JONES WILSHIRE GLOBAL SECTOR WINNERS & LOSERS BY REGION
| U.S. |
|
EUROPE - DEVELOPED |
|
EUROPE - EMERGING |
|
| Basic Resources |
3.28% |
Health Care |
0.24% |
Chemicals |
16.28% |
| |
|
|
|
|
|
| Oil & Gas |
2.53% |
Basic Resources |
-0.90% |
Utilities |
2.17% |
| |
|
|
|
|
|
| Utilities |
-1.04% |
Chemicals |
-3.29% |
Health Care |
-2.94% |
| |
|
|
|
|
|
| Financial Services |
-15.20% |
Automobiles & Parts |
-14.16% |
Banks |
-13.05% |
| |
|
|
|
|
|
| Automobiles & Parts |
-20.43% |
Banks |
-14.49% |
Technology |
-14.97% |
| |
|
|
|
|
|
| Banks |
-22.27% |
Construction & Materials |
-15.75% |
Insurance |
-15.03% |
| |
|
|
|
|
|
| LATIN AMERICA |
|
ASIA-PACIFIC |
|
MIDDLE EAST & AFRICA |
|
| Chemicals |
5.24% |
Utilities |
-3.22% |
Chemicals |
1.31% |
| |
|
|
|
|
|
| Health Care |
2.94% |
Health Care |
-4.64% |
Health Care |
0.47% |
| |
|
|
|
|
|
| Automobiles & Parts |
0.12% |
Travel & Leisure |
-4.66% |
Utilities |
-2.33% |
| |
|
|
|
|
|
| Personal & Household Goods |
-12.96% |
Telecommunications |
-12.90% |
Telecommunications |
-13.00% |
| |
|
|
|
|
|
| Retail |
-15.23% |
Construction & Materials |
-13.46% |
Insurance |
-13.92% |
| |
|
|
|
|
|
| Travel & Leisure |
-17.64% |
Financial Services |
-14.04% |
Personal & Household Good |
-17.99% |
DOW JONES WILSHIRE SIZE INDEXES
The Dow Jones Wilshire U.S. Small-Cap Index posted a loss of -8.42 percent and the Dow Jones Wilshire Global Small-Cap Index
also fell -8.42 percent. The Dow Jones Wilshire U.S. Micro-Cap Index had a down month with a loss of -7.38 percent. The Dow
Jones Wilshire U.S. Large-Cap Index was down -8.12 percent. On a global basis, the Dow Jones Wilshire Global Large-Cap Index
dropped -8.29 percent.
DOW JONES WILSHIRE GLOBAL REAL ESTATE INDEXES
In the United States, the Dow Jones Wilshire Real Estate Investment Trust (REIT) Index fell -11.08 percent and Dow Jones
Wilshire Real Estate Securities Index (RESI) dropped -11.09 percent. The Dow Jones Wilshire Global REIT Index, which
represents 24 countries in Europe, the Americas, Asia-Pacific and Africa, posted a -10.57 percent loss. The broader Dow Jones
Wilshire Global RESI was down -11.22 percent.
About Wilshire Associates
Wilshire Associates is a leading global investment technology, investment consulting and investment management firm with four
business units including Wilshire Analytics, Wilshire Funds Management, Wilshire Consulting and Wilshire Private Markets. The
firm was founded in 1972, revolutionizing the industry by pioneering the application of investment analytics and research to
investment management for the institutional marketplace. Wilshire also is credited with helping to develop the field of
quantitative investment analysis that uses mathematical tools to analyze market risks. All other business units evolved from Wilshire's
strong analytics foundation.
Wilshire developed the index now known as the Dow Jones Wilshire 5000 Composite Index sm, the first asset/liability models for
pension funds, the first U.S. equity style metrics work and many other "firsts" as the firm grew to more than 350 employees
serving the investment needs of institutional and high net worth clients around the world.
Based in Santa Monica, CA, Wilshire provides services to clients in more than 20 countries representing in excess of 600
organizations with assets totaling more than $12.5 trillion. With ten offices on four continents, Wilshire Associates and its affiliates
are dedicated to providing clients with the highest quality counsel, products and services. Please visit www.wilshire.com
for more information.
*All values as of June 30, 2008. Index values are price values. All returns are total returns and reflect float-adjusted market capitalization.
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