MURDER, POLITICS, AND THE END OF THE JAZZ AGE
by Michael Wolraich
Order today at Barnes & Noble / Amazon / Books-A-Million / Bookshop
MURDER, POLITICS, AND THE END OF THE JAZZ AGE by Michael Wolraich Order today at Barnes & Noble / Amazon / Books-A-Million / Bookshop |
As if investors don’t have enough to worry about these days, a new study says that selling by baby boomers in coming years could be a persistent wet blanket on the stock market.
The report by the Federal Reserve Bank of San Francisco predicts that stock prices could fall 13% over the next decade solely because of baby boomers dumping stocks to branch into more conservative investments as they retire.
It could take an additional six years, until 2027, for share prices to return to the level they reached last year, according to the analysis by researchers Zheng Liu and Mark M. Spiegel.
Comments
This is the sort of thing you hope the powers that be would have thought about and planned for before now. Maybe they did. Who knows?
by EmmaZahn on Tue, 08/23/2011 - 1:01am
Back when Ronnie Raygun was President, he took the initiative to increase social security revenues, but only at the expense of the employee ... the employer got off scot-free. Some how I don't think they were bothered with boomer investments crippling the markets simply because they were hardly anything more than a tiny scratch on the surface.
That was over 30 years ago. It was also in a era where most people had pensions thru their employer and 401-K's were new investment vehicles for the average person to invest extra funds towards their retirement above both pensions and social security. Since then, the GOPer's pushed to make the 401-K the primary pension investment vehicle for businesses ... which relieves them of a taxed that was levied on them as insurance in case their pension funds defaulted and the government had to pick up their slack.
Wanna bet if us boomers begin to transfer funds out of stocks and into long-term bonds with high yields, there will be a penalty attached to make such a transition costly? Of course the penalty wouldn't stop the slide in stock prices, but some one will make a killing, financially.
by Beetlejuice on Tue, 08/23/2011 - 1:39pm