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/biz/ - Business & Finance

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701623 No.701623 [Reply] [Original]

Do you believe less people or more people are getting involved in investing and the stock market in general? If less people, is it more detrimental to the stock market in the future in terms of being able to make money?

>> No.701626

>Do you believe less people or more people are getting involved in investing and the stock market in general?
Relative to when? Compared to pre-2008 it's fewer.
>If less people, is it more detrimental to the stock market in the future in terms of being able to make money?
Not as long as institutional investors are around.

>> No.701627

I have pretty much never met anyone in my age range (20-30), that even knows what vanguard or index funds are. Everyone around my age is usually blowing all their money on cars, electronics, and booze, and everything else goes towards their minimum student loan payment.

I've only known two girls, both sisters, who had a huge stock portfolio, and that was really only because their father was a major financial adviser in our city.

Only on the internet do I meet people who even know what the concept of an emergency fund are.

Most people I know who are older than me only do their companies 401k and even then, they have no idea what the 401k is actually invested in.

Having more people investing is good for everyone. You get more by making the pie bigger for everyone.

>> No.701630

>>701627

Well said, its a shame as a 24 year old that its so hard to find people my age, who are interested in investing. I am thinking of moving to NYC just to meet people who are market savy. Good idea?

>> No.701631

>>701630
>just to meet people who are market savvy
>Good idea?
No.

>> No.701664

>>701623

2008 scared a lot of people.

Confidence will build again.

>> No.701672

stock market? As in buying individual stocks?

Or having an automated brokerage account with a robo-advisor who automates everything for you?

first option, less people.

second option, alot more people.

>> No.701690
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701690

>>701630
What kind of logic is that? Where did you even get that idea?
>I live in NYC and its no different here than anywhere else 'cept more expensive obviously

>> No.701692

>>701690

to meet people, anon. You know n-networking....

>> No.701705
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701705

>>701623
>Do you believe less people or more people are getting involved in investing and the stock market in general?
Fewer, clearly. Millennials are shit at saving money.

>If less people, is it more detrimental to the stock market in the future in terms of being able to make money?
The older generations are more than making up the gap, especially with the trend towards privatizing pensions into personal self-directed retirement accounts.

People over 35 are making serious bank. We're getting left behind. In 10 years, this'll be the next class warfare, and it'll make the 99%'ers look like hippies. No one's happy when they're in the lost generation.

>> No.701716

>>701692
I know what you mean. I stay in Mumbai, and a lot of people, including me until a few years ago, dont understand the idea of networking; they're just new in big cities

>> No.701757

>>701705

>Millennials are shit at saving money.

No shit. Younger generations have literally always been net borrowers- they have low income and many large-ticket items to borrow to buy (house, car, college, etc). This is the flip side of old people being savers- they need to be lending money to somebody after all.

>> No.701784

>>701757
Don't get mad at me, brosef. I'm just pointing out the facts. Millenials are terrible savers not because they're young. Its because they're stupid.

Go look at the blended savings rates in the 90's, 80's, and 70's (back when the current older generation were kids). The savings rates were 50-100% higher back then. Did people not buy houses, cars, and college educations 30 years ago? I think they did.

>> No.701791

>>701623
I don't think anyone really knows anything about it. But frankly I barely do either and I've been at it since I was 17. Business is one of the few subjects that is portrayed in the simplest contexts while being one of the most difficult and practical/life altering. A bio engineer can fuck up his research and start again. An Investment banker makes a poor choice and a company can die along with thousands of jobs and possibly even lives etc. I didn't know what I wanted to do in school, so I picked up Business Admin just get started, now I'm in the higher level strategy/law classes with a concentration in Finance and I have no fucking idea whats going on, despite getting good grades.

But yeah, basically no one is really invested in the market.

>> No.701794

>>701784
>incomes were the same then and now
>the cost of college was the same
>the cost of living was the same
Lol, just lol.

>> No.701812

>>701794
Bullshit. Wages and inflation have largely tracked for decades (which is its own issue, but besides the point). I'll give you increased college expenses, but if you think that alone explains a sea change in savings rates you're clinically retarded.

Millennials are morons. We watched Mommy & Daddy get whacked in 2008, and have vague memories of 2000. We're cowering little faggots when it comes to the big, bad markets.

Hyperbole aside, you need to get a fucking clue. Its widely know that Millennials are scared of the markets.

http://money.cnn.com/2015/03/11/investing/investing-millennials-stocks-markets/

>> No.701832
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701832

>>701626
>Relative to when? Compared to pre-2008 it's fewer
Sauce?

>> No.701834

>>701832
Poll a couple years back. http://www.gallup.com/poll/162353/stock-ownership-stays-record-low.aspx

>> No.701840

>>701791
lol okay

>> No.701841
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701841

>>701834
Thanks. Have some more tits.

>> No.701847

>>701812
Less people have those higher paying jobs. Plenty of millenials are working part time shit tier jobs where they're lucky to make 20k between 2 or 3 jobs.

That said you do have some truth in what you're saying. Saving isn't as valued and education in public school ignores personal finance and practical skills. Also the flippant attitude given to taking out student loans doesn't help.

I can't fathom it myself. I hate being in debt and invest about as much as I physically can. Most of my peers at my job don't though.

>> No.701854

>>701847
Unrelated but it doesn't help that guidance counselors and teachers are telling kids they need to go to college if the want to make money. In all honesty not everyone is smart enough for college, and we don't need anymore criminal justice or history majors.

Counselors don't tell kids plumbers and garbage men are always in need and pay is good, because that doesn't fit into the academic utopian ideal.

>> No.701858

>>701841
Wow.

>> No.701877

>>701854
Parents would be calling for blood if a teacher said anything to their kid except that they are intelligent snowflakes who could rule the world if they put their mind to it.

No one wants to hear their kid is dam near at retarded IQ levels, and he might as well accept he will be a pizza delivery driver

>> No.701888

>>701877
So sad...but so fucking true. I had friends in hs who though they were smart even though they were D&F students.

I think Daniel Tosh said it best and I paraphrase, Guy says he isn't dumb just a bad test taker...bad test taker, you mean those things where we test your knowledge of a subject.

We need to get trade schools up and running at full force again, we need to reintroduce woodshop and mechanics into high schools. Teaching youngsters how to work with their hands would open a new world to them instead of wasting their parents money failing out of junior college.

And personal finance should be mandatory senior year of hs course. The majority of the population would be better served learning finance and econ 101 as opposed to geometry.

>> No.701894

>>701705
Sauce on graph?

>> No.701898

>>701894
http://www.wsj.com/articles/savings-turn-negative-for-younger-generation-1415572405

>> No.701899

>>701888

Actually there is such a thing as bad test takers.

I used to teach, but now just do side tutoring for high school and college kids, and some of these kids almost have anxiety attacks when they're about to take the tests.

Many of them can pop off high A and B knowledge of the material, but they spend all of their time learning the material and not practicing the actual tests.

This can actually be fixed pretty easily. A combination of adderall early on and getting them comfortable with actually taking the tests by taking lots of practice tests.

>> No.701901
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701901

>>701716
Great, just great.

>> No.701904

>>701834
Yeah but I bet if you include people from other countries, the amount of stocks in general has gone way up. Tons of people in china india nigeria etc bought american stocks in countries that had never done so before.

>> No.701905

>>701888
They started teaching it to sophmores (or freshman I dont really remember) when I was a senior, but kids that age cant even get jobs yet so how the fuck are they going to wrap their heads around savings when they dont even have to worry about gas, insurance, phone bill, clothes. The finance classes in high school are a joke as well. You sot in front of a computer and type out some assignment or watch some video, and neither gets anyone involved in the subject so people found it boring and meaningless, while also being told their smsrt for looking at a computer for an hour and a half

>> No.701910

>>701888
Test taking is quite a skill, though.

My grades improved... and this wasn't by studying more.

>> No.701949

>>701899
>>701910
That wasn't really the overall point of my post but I can understand the argument people are bad (SAT, ACT, GMAT) test takers..100s of questions and hours of testing. But I don't believe that people can be bad weekly chapter test takers, as-in study chapter 4 for a test on Friday. Some may have learning disabilities, or have poor study habits. But the majority are just lazy and/or dumb. This is based on my observations in a smaller private HS, we didn't have any spec-ed kids with learning disabilites, we just had smart kids, average kids, and dummies.

>>701905
Which is why I said senior year mandatory course, me and most people in my senior year of hs had at least a part time job and had vehicles that we had to fuel up, insure, and maintain. It sounds like the course at your school was a poorly planned program destined for failure.

There are teachers all over that can make boring subjects interesting for students, if they try. If they can relate the material to teenage students, most will get it.

>> No.702132

Its really tough to say. I work in the financials (far from Wall Street), and the only people my age I know who invest are my industry peers who dabble in their own investment portfolios.

Everyone else gets auto enrolled into a 401k these days; defaulted to some target date allocation they don't understand. They might occasionally buy a stock because they like the product or think it will be the next big thing.

I went on a couple POF dates with a woman who traded leveraged ETF's like a donkey. The way she traded made my head expload

>> No.702158

>>701623

The number of people invested in the market is far less important than the total dollars invested in the market.

To your point, I'm interested to see what happens in the market over the next 10 years. A huge number of baby boomers will be retiring. They will no longer be contributing to their pension/401k; instead they will be withdrawing. If the savings rate of the under 50 crowd doesn't grow enough to offset these withdrawals, the net outflows will cause the markets to fall.

>> No.702185

>>702158
Luckily the baby boomers are spread out over multiple decades, so it won't be a sudden fall out.

>> No.702213

>>701812
>CNN article
>ad: Related: The millennial investor raking in a 250% return
>ad: Related: Tech stocks aren't at bubble levels
>M a Ni P u L at E ~ i LL u M I Na t E ~ me Di A ~ bullshit ~ come on, that article was crap and you fuckin' know it.
>"Millennials are quite gun shy when it comes to investing. You can't blame them; it's rational behavior," said Suzanne Duncan, global head of research at State Street's Center for Applied Research.
Keep callin' 'em retards, though.

>Wages and inflation have largely tracked for decades (which is its own issue, but besides the point).
How is that "beside the point"? That is EXACTLY the point. It's not the same.

The only thing you've said that's worth hearing is that millenials are scared of the markets.