Baby boomers turned 65 this year, the peak retirement there will ever be in the history of the world.
Individuals selling small amounts of stock, each for slightly below midpoint, actually has a much larger negative effect on prices than one large sale at slightly below midpoint does. Think about what the order book looks like over time.
People expect a sudden recession. The ride to the bottom is going to be a-historically long and slow, as retirement accounts unwind contractually slowly, and big institutional investors wait out lower capital gains taxes.
I think the government will be incentivizing stock ownership much more via state sponsored 401k, or HSAs, or 529, etc. Even now, we're only at just above 50% of population having a stake in public companies:
Also, number of public companies is decreasing, with the bigger players getting bigger and bigger. And finally, I would expect even more international funds to flow in to the large conglomerates as their efficiencies of scale take over.
This is interesting, and hadn't thought about the cashing out of index funds with age. Given that idea though, the money IS being spent, put back into the economy.
Baby boomers turned 65 this year, the peak retirement there will ever be in the history of the world.
Individuals selling small amounts of stock, each for slightly below midpoint, actually has a much larger negative effect on prices than one large sale at slightly below midpoint does. Think about what the order book looks like over time.
People expect a sudden recession. The ride to the bottom is going to be a-historically long and slow, as retirement accounts unwind contractually slowly, and big institutional investors wait out lower capital gains taxes.