Adam, it is sobering every time you mention that the upper 10% of the population owns 90% of the market. I wonder if there is something missing in that calculation. My brother is a teacher, owns no stocks, but will receive a retirement income equivalent to having over 2 million in investments. His pension is in the stock market. If you were to add all the pension recipients, would it still be 10% owning 90%??
When bond yields were near zero, I spent a lot of time pointing out how much better off pensioners were than most folks with an IRA/401k. You're right: it's equivalent to receiving the income a multi-million dollar portfolio kicks off.
I can easily foresee a day when those without pensions get resentful of those who have them. Especially if mis-managed pensions start struggling and receive taxpayer-funded bailouts.
I have never seen an in-depth discussion of dividend investing for retirement income on your interviews. Could you please get a good detailed interview done for passive income generation for the next decade or two for new retirees. e.g. Is it ok to invest 80% of your portfolio in passive dividend generation into something like SCHD when recession hits to get the best yield-on-cost? How about XLU (utilities) or VNQ (reits) for passive income for the next decade or two?
I wish there was an in-depth discussion with your finacial planners on this topic while yields are still high in order for us to either take advantage of locking in current yields or preparing well for the upcoming recession to buy.
I think you can do the topic better justice than most people can and your audience is probably very interested in this topic. Thanks again for all that you do; I love watching your interviews and supporting this conscientious forum.
One thing that either Lance or NewHarbor guys can quickly answer before you schedule a full interview on income investing is regarding number 1 prep for the opportunity that is coming is: Should we regard 30Yr T-Bonds/TLT investments as pretty much 'would be available' cash for buying at the low when recession strikes instead of being in TBills provided we can stomach the roller coaster till then?
e.g. I have a huge position in 30YrBonds and wondering if I really need to be in TBills because my logic says I would be cashing out TBonds about the same time as I would be buying dividend stocks or REITS or XLU etc. :-) Thanks Adam.
Lance made an important comparison. Our deficit spending is now permanently at the level we used to endure briefly for wars.
There's an important difference. In WW2 the deficit spending went to build new factories, improve existing factories, and develop new materials. Those factories and materials made a prolonged boom possible in the 50s and 60s after they were converted to civilian needs, for cars and appliances and clothing.
Our current deficit spending serves to tear down factories and ruin infrastructure for "environmental" purposes. It mostly goes directly into the pockets of Bezos and Elon and Fink. It's NOT adding to real factories, except for AI chips that will also enrich Bezos and Elon and Fink at the expense ofl workers.
My thanks to you and Lance, and to all your guests that you bring on to interview. Your site reminds somewhat of the Old Louis Rukeyser with Wall Street Week, but with a significant improvement on its content.
I have two questions.
First question:
The latest data states that the global GDP of China is 18%, but only 13% of Global consumption.
I have been reading and hearing that wealthy investors in China are dumping many of their assets in China, and moving assets to the United States, including the U.S. stock markets.
Could this been one of the reasons that the U.S. markets continue to move up?
Second question, more of a set of questions.
Have any of your guests charted the final revised data that the U.S. FED puts out? And is it more accurate? Will this revised data give people a better idea of how the economy is behaving or is it too backward looking?
Adam, it is sobering every time you mention that the upper 10% of the population owns 90% of the market. I wonder if there is something missing in that calculation. My brother is a teacher, owns no stocks, but will receive a retirement income equivalent to having over 2 million in investments. His pension is in the stock market. If you were to add all the pension recipients, would it still be 10% owning 90%??
No, I think it would be a wider percentage.
21% of Americans have pensions (source: https://smartasset.com/retirement/average-retirement-savings-are-you-normal). So you could add that to the 10%, though there's likely some overlap. Not all of these pensions are full ones (like it sound like your brother's is) mind you.
When bond yields were near zero, I spent a lot of time pointing out how much better off pensioners were than most folks with an IRA/401k. You're right: it's equivalent to receiving the income a multi-million dollar portfolio kicks off.
I can easily foresee a day when those without pensions get resentful of those who have them. Especially if mis-managed pensions start struggling and receive taxpayer-funded bailouts.
Hey Adam,
I have never seen an in-depth discussion of dividend investing for retirement income on your interviews. Could you please get a good detailed interview done for passive income generation for the next decade or two for new retirees. e.g. Is it ok to invest 80% of your portfolio in passive dividend generation into something like SCHD when recession hits to get the best yield-on-cost? How about XLU (utilities) or VNQ (reits) for passive income for the next decade or two?
I wish there was an in-depth discussion with your finacial planners on this topic while yields are still high in order for us to either take advantage of locking in current yields or preparing well for the upcoming recession to buy.
I think you can do the topic better justice than most people can and your audience is probably very interested in this topic. Thanks again for all that you do; I love watching your interviews and supporting this conscientious forum.
Thanks.
Thanks, Gary -- you're not the only one asking for a deep dive into income investing. I'm actively pursuing this. Stay tuned...
One thing that either Lance or NewHarbor guys can quickly answer before you schedule a full interview on income investing is regarding number 1 prep for the opportunity that is coming is: Should we regard 30Yr T-Bonds/TLT investments as pretty much 'would be available' cash for buying at the low when recession strikes instead of being in TBills provided we can stomach the roller coaster till then?
e.g. I have a huge position in 30YrBonds and wondering if I really need to be in TBills because my logic says I would be cashing out TBonds about the same time as I would be buying dividend stocks or REITS or XLU etc. :-) Thanks Adam.
Thank you Lance for sharing your newsletter!!
Lance made an important comparison. Our deficit spending is now permanently at the level we used to endure briefly for wars.
There's an important difference. In WW2 the deficit spending went to build new factories, improve existing factories, and develop new materials. Those factories and materials made a prolonged boom possible in the 50s and 60s after they were converted to civilian needs, for cars and appliances and clothing.
Our current deficit spending serves to tear down factories and ruin infrastructure for "environmental" purposes. It mostly goes directly into the pockets of Bezos and Elon and Fink. It's NOT adding to real factories, except for AI chips that will also enrich Bezos and Elon and Fink at the expense ofl workers.
Thanks Adam for including this. Very high quality analysis without much emotion or bias.
The addition of the newsletter is a wonderful addition; thank you Lance and Adam for these weekly recaps.
My thanks to you and Lance, and to all your guests that you bring on to interview. Your site reminds somewhat of the Old Louis Rukeyser with Wall Street Week, but with a significant improvement on its content.
I have two questions.
First question:
The latest data states that the global GDP of China is 18%, but only 13% of Global consumption.
I have been reading and hearing that wealthy investors in China are dumping many of their assets in China, and moving assets to the United States, including the U.S. stock markets.
Could this been one of the reasons that the U.S. markets continue to move up?
Second question, more of a set of questions.
Have any of your guests charted the final revised data that the U.S. FED puts out? And is it more accurate? Will this revised data give people a better idea of how the economy is behaving or is it too backward looking?
Thank you.