Retirees Now Own Record Share of Stock Market, Raising Risks in Downturn
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Retirees own 80% of the U.S. stock market, an all-time high. In 2008 it was 65% and in the 1990s/2000s it was below 60%.
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30% of the market is owned by people over 70 years old, also a record.
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Heavy ownership by retirees could worsen market downturns if they rush to sell.
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Mass selling by retirees could hurt consumer spending on medical care, travel, hospitality, etc.
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This threatens the broader economy since consumer spending accounts for 70% of U.S. GDP.