Tags: millennial | baby boomer | demographics | employment

How Millennials Can Thrive on Retiring Baby Boomers

How Millennials Can Thrive on Retiring Baby Boomers
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By    |   Tuesday, 21 November 2017 03:03 PM

There are major differences between millennials and baby boomers, but there’s no reason for friction. In fact, millennials can thrive financially because of retiring baby boomers.

There are more than 80 million millennials born between 1985 and 2004 while some 80 million baby boomers, born between 1945 and 1964, will be living longer than previous generations and reinventing the concept of retirement, according to Ken Gronbach, author of “Upside: Profiting from the Profound Demographic Shifts Ahead.”

This presents many challenges, but also great opportunities in the years ahead.

  • The expansion of health care services from an aging population is also bringing about new products in medical devices, pharmaceuticals, and biotechnology. As some 10,000 baby boomers turn 65 every day, there will be a continued demand for the best treatments and the best medication, notes Time.

Health care “is an exciting sector,” Jason Kritzer, co-manager of the Eaton Vance Worldwide Health Sciences fund, told Barron’s. Innovations in drugs, developing technologies, and medical equipment will provide continued growth. Occupations in these industries also provide millennials with a wide range of opportunities.

  • Death care is another area for innovation and possible investment. The number of dying baby boomers may result in a shortage of funeral homes, cemeteries, and crematoriums. “This sets the stage for a total redefining of the process, perhaps by a big box retailer,” Gronbach told Seattlepi.com.
  • The housing market will see dramatic growth in the Sunbelt and Southern states as baby boomers retire. Getting involved in all areas of housing, such as materials for delivery, may be good places to invest and work in, Gronbach points out.

Boomers may begin selling their homes as they retire to smaller homes, but there are those in certain areas of the country who prefer to sit on their properties as long as they can. In that case, rental property investing may see a rise in prices and an increased demand, according to financial guru Dean Graziosi in the HuffPost.

  • Millennials can benefit from REITs, which represent a managed pool of real estate, making money on sales and rentals, GenFKD reports. Or they can turn to ownership of rental properties.
  • Impact investing has been gaining popularity among millennials, and this could in turn help baby boomers as well. The concept includes investing in companies, organizations, and funds that improve social and environmental situations. One in three millennials say disease prevention and cures are important matters when impact investing, according to American Century Investments.

Opportunities in healthcare, housing, and impact investing, along with the rise of millennial start-ups with new ventures in technology, could help millennials thrive on retiring baby boomers.

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There are major differences between millennials and baby boomers, but there's no reason for friction. In fact, millennials can thrive financially because of retiring baby boomers.There are more than 80 million millennials born between 1985 and 2004 while some 80 million...
millennial, baby boomer, demographics, employment
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2017-03-21
Tuesday, 21 November 2017 03:03 PM
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