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If you're a baby boomer approaching retirement, demographic trends will weigh down your...

If you're a baby boomer approaching retirement, demographic trends will weigh down your portfolio returns, fund manager and researcher Robert Arnott warns. The ratio of retirees to active workers in the U.S. will balloon; as retirees sell stocks and then bonds to support themselves, there will be fewer younger investors to buy those securities, keeping a lid on prices.
Comments (5)
  • 7footMoose
    , contributor
    Comments (2266) | Send Message
     
    I have been aware of and planning on this for years. The supply of available stocks will rise and the demand for stocks will decline leading to an inevitable fall in stock prices regardless of market conditions. When there are fewer buyers than sellers prices fall. Plan on your house or houses doing the same. Many boomers long ago spent their retirement.
    5 Mar 2012, 05:26 PM Reply Like
  • SoldHigh
    , contributor
    Comments (1013) | Send Message
     
    There are a few more variables to the equation that those regarding stock prices.
    5 Mar 2012, 05:28 PM Reply Like
  • The Enterprising Value Inve...
    , contributor
    Comments (520) | Send Message
     
    Good. That way the companies i hold will be able to buy back stock at depressed P/B levels
    5 Mar 2012, 05:36 PM Reply Like
  • 1980XLS-2.0
    , contributor
    Comments (525) | Send Message
     
    Headline kinda sounds similar to the unwinding of a typical Ponzi scheme.
    5 Mar 2012, 05:44 PM Reply Like
  • 1980XLS-2.0
    , contributor
    Comments (525) | Send Message
     
    http://econ.st/ztDpg3
    5 Mar 2012, 07:01 PM Reply Like
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