The wealth went to the Cayman Islands in a Trust Fund set up by Mitt Romney for his sons to avoid Taxes.<quoted text>
Great Recession hangover: What happened to America's lost wealth? The St. Louis Federal Reserve says U.S. households have recovered only 45 percent of the wealth they lost in 2008
At the same time, "the recovery has been far from egalitarian," says Murphy. Of all the recovered wealth, 62 percent — or $9.1 trillion — is from rising share prices in the booming stock markets. "Stock wealth is unevenly held, with the vast majority of stocks owned by a relatively small number of wealthy families," say Boshara and Emmons.
"Thus, most families have recovered much less than the average amount."
Also, "in a cruel twist," says Paul Tosto at Minnesota Public Radio, "Americans have been bailing out of the stock market the past few years while things have been hot." Only about half of U.S. adults now own stock,
the lowest level since 1998, according to Gallup.
Plenty of families have seen no recovery at all, or are even still losing wealth, Emmons tells The Washington Post. And the households still struggling the most are demographically some combination of young, black, Hispanic, and with
lower levels of education. <<--<<<
Where did their wealth go?
NEW YORK (CNNMoney)-- Mitt Romney's five sons -- Matt, Tagg, Craig, Ben and Josh -- are sitting pretty with a trust fund worth $100 million.
Getting there took investments that produced great growth, according to the Romney campaign. It also took smart tax strategies.
Romney and his wife Ann have been giving to the boys since 1995, and, according to a spokesperson for the Romney campaign, all of their contributions have been below gift-tax contribution limits.
The limit for a couple in 1995 was $20,000 and has since grown to $26,000. In addition, there's a "lifetime gift-tax exclusion" for all the boys that totaled $1.2 million back in 1995 and has since grown to $10 million.
Add it all up, and the Romneys could have gifted $1.3 million in 1995, and a total of $10.6 million through 2011. All tax free.
To get to $100 million, the account would have needed a 26% average annual compound rate of return, said Jonathan Bergman, chief investment officer at Palisades Hudson Asset Management. Stocks over that same time have gained about 10%.