4.5 million people in the United States will turn 50 this year.
I’m not writing this because I was/am one of them, but to share some perspective on what it means for all of us. This is only the U.S. I am talking about, there are many more baby boomers in other developed nations around the world that are also turning 50 this year. The Baby boomer populous is the group of people that were born between 1946 and 1964. Those considered in the actual baby boomer count tend to be countries (not all) that participated in the war. World-wide there were 1.6 billion people born in this time period (76 million U.S.).
This group of people continues to set the stage for the future. Yes, the generations that are following are very influential, but the glut of the market place is still dominated by the the desires and decisions of the baby boomers. They possess an enormous amount of the world’s disposable income and stand to inherit even more. If you watch what they are interested in and what they need, you can easily see what areas of the market place will thrive. And regardless of what you read about the economies of the world, there is and always will be thriving market arenas.
Two of the most obvious areas for this group are products and services that help them stay youthful and healthy, and the need to continue to develop alternative sources of future cash flow. The first is easy to understand. The second is worth a few more words for clarity. If you think about your finances, two main things to consider are equity and cash flow. Equity represents assets that increase or decrease in value based on market conditions. Cash flow represents the amount of cash you have coming into your household at any given time. If you have plenty of cash flow, the current state of markets (stocks, real estate, commodities, retirement vehicles, etc.) are irrelevant, because you have no need to access them. the smart baby boomers are looking for ways to create sustainable cash flow streams without having to risk assets. So as the 12,460 baby boomers turn 5o every day this year, recognize they are a sign-post to how to help your self by helping them.
If you haven’t seen my video on how to Recession proof yourself from home, I have placed it below. I speak specifically about the cash flow versus equity concept.