In today's Horsesmouth, there is a very compelling article entitled "Older Workers: Untapped Assets for Creating Value" This article joggled my thoughts somewhat, and I wanted to share with you some resources that touch upon the very large topic of: Retirement Demographics and the impact upon advisors who focus on investors who are 50+ in age.
Here are two statistics that might grab your attention. The Bureau of Labor Statistics estimates that by 2010, there will be a Job Glut in this country...10 million more jobs than people in the workforce. This will create many more opportunities for the 50+ worker, who in past decades (and today) was/is phased out of the workforce...often involuntarily. This job glut, and the lack of savings foresight, will compel many workers to re-think their retirement scenarios.
In a parallel development, a recent Rand Corp. study shows that a growing share of older workers are starting or buying their own businesses. The study indicates that the % of self-employed business owners who are 50+ in age is now 40.5% of the self-employed population. What is apparently driving this trend is the large number of folks in their 50's who have simply had it with the corporate life...and are now parlaying their savings into their own business enterprise.
How will these trends affect advisors? For example, in the case of corporate employees becoming self-employed business owners, there might be some very interesting opportunities for the advisors who position themselves as a resource to the Budding 50+ Entrepreneurs. The "reward" for the advisor who positions themselves appropriately, would be the opportunity to manage self-directed retirement rollovers.
As I mentioned, this is an immense topic. Let me leave you with a few resources that you can refer to...should you want to research this more. In the first place, Horsesmouth has many good articles on how advisors can tap into these demographic trends. Horsesmouth is a subscription-based service, yet well worth it in my view. Another great resource is Knowledge@Wharton. They have a number of good white papers including, "Redefining Retirement in the 21st Century." Access is free, yet registration is required. Finally, AARP is always helpful. You can go to their website, and browse by main topic area. They always seem to have good articles and studies on the changing face of retirement.
Hope this helps.
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