Salient to Investors: Expanding populations fueled global prosperity with both workers and consumers but global aging threatens to cause chronically weak economic growth, a more volatile international economy and the risk of a new financial crisis triggered by innovative investments dubbed “death derivatives.” Rob Arnott at Research Affiliates said our
READ MORE... →Salient to Investors: The median net worth for US households headed by boomers aged 55 to 64 was almost 8 percent lower, at $143,964, than those 75 and older in 2011. Boomers lost more than other groups in the stock market and housing bust of 2008, and many also lost
READ MORE... →Salient to Investors: The Nippon Individual Savings Account program opens for applications tomorrow and will allow individuals to buy $10,143 a year of risk assets – stocks, ETFs and investment trusts – that are exempt from taxes on dividends and capital gains for 5 years. Nomura Research Institute estimates the
READ MORE... →Salient to Investors: In most countries, the population is ageing as people are living longer and having fewer children. A child born in 1960 could expect to live for 52 years, born today 69 years, by 2050 well over 70. In 1960, there were 33 births for every 1,000 people,
READ MORE... →Salient to Investors: Roberto Perli at Cornerstone Macro said the reduced workforce poses a problem for the Fed as the unemployment rate declines faster than the Fed thought, but not for the right reason. If the drop is mainly driven by aging baby boomers retiring then the lower unemployment rate
READ MORE... →Salient to Investors: The CDC said the US fertility rate fell to a record low in 2012, with 63.0 births per 1,000 women ages 15 to 44 years old, and versus 69.3 in 2007. Last year, the CDC said an American woman will give birth to an average of 1.88
READ MORE... →Salient to Investors: Barry Knapp at Barclays predicts the Fed will maintain its current rate of asset purchases into 2014, as the labor market is again the Fed’s focus. Knapp said an improving labor market rather than accelerating inflation made the Fed end its last 3 easings – May 1983, February 1994, Feb-to-August, 2004. In
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