I read a book recently which used 2 basic assumptions:
1) Peak earning and savings for most individuals are the years right before retirement
2) Boomers will be retiring at a rate of 10k per day over the next decade, peaking in the mid 2020's
It has been this big influx of dollars seeking investment returns that has suppressed interest rates and driven the bubbles in various markets. With more and more boomers nearing retirement and shoveling money into various investments, the hypothesis is that the DOW should continue to climb until more Boomers are pulling money out than putting money in.
Extremely simplistic, and may be old news, but I was curious what this board thinks.
1) Peak earning and savings for most individuals are the years right before retirement
2) Boomers will be retiring at a rate of 10k per day over the next decade, peaking in the mid 2020's
It has been this big influx of dollars seeking investment returns that has suppressed interest rates and driven the bubbles in various markets. With more and more boomers nearing retirement and shoveling money into various investments, the hypothesis is that the DOW should continue to climb until more Boomers are pulling money out than putting money in.
Extremely simplistic, and may be old news, but I was curious what this board thinks.