Millions of Americans are left out of the stock market boom

[IronLionZion]

http://money.cnn.com/2017/10/20/investing/trump-stock-market-americans/index.html?iid=hp-stack-dom

Since President Trump's election, the Dow has spiked more than 4,600 points, or about 25%. The S&P 500 has added $2 trillion in value.

That's all great news if you're investing in corporate stocks, or if your 401(k) is heavy on equities. Over the past three years, the value of families' portfolios has risen "dramatically" to an average of $344,500, according to a September Federal Reserve report.
Yet the spoils of the stock market run are slanted heavily in favor of the wealthy.

Barely one-third of families in the bottom 50% of earners own stocks, according to the Fed. On the other hand, nearly 94% of the top income group owned stocks in 2016. Lower-income Americans don't have extra money to put into stocks, and a third of workers don't have access to a 401(k) or another retirement plan, according to Pew.

Young people are also less likely to benefit from the rally. Less than a third of people ages 18 to 29 owned stocks on average between 2009 and 2017, according to a Gallup survey released in April. Nearly two-thirds of Americans between 30 and 64 own stocks. "They saw their parents get burned and don't have as much money to invest," says Ryan Detrick, a senior market strategist at LPL Financial.

When's it going to trickle down to everyone else?

[lunasun]

1. Many under 30 are also dealing with debt from college and not yet secure enough to risk it

Yes older people have college loans too but they have been in the workplace longer ans have a little to risk

[IronLionZion]

2. Older people are more likely to have some retirement investments

either through an employer plan or independently. The bull market in stocks might encourage some of them to retire if they have been holding off.

People under 30 might have jobs that don't provide this benefit or they don't get paid enough to feel like they can afford to save a portion for retirement just yet.

[ck4829]

3. What does the Dow mean for you and me? Same thing as 'reading' the bumps on your head

http://rw-infopedia.pbworks.com/w/page/117407481/Oracle%20of%20the%20Dow

[IronLionZion]

5. It means how many are buying shares of the 30 largest US companies

or selling. But it means much less if you look into how it's calculated as a price weighted average. https://en.wikipedia.org/wiki/Dow_Jones_Industrial_Average#Calculation

Bumps on the head may mean it's time to change shampoos if it's scalp pimples, or stop bumping into things if it's swelling wounds.

[Joe941]

4. tRump only cares about the rich.

[Wellstone ruled]

6. New reality is this,

the idea of older Americans having tons of financial assets is so misleading. The new family units are these,Grand Parents raising their Grand Children while caring for one or more of their elderly Parent or other Sibling.

This is the new Normal. Doubt it,look around when you go Grocery Shopping,look around when you are Cloths shopping. The items in those carts tell the real story.

[msongs]

7. buying stocks is a personal choice. nobody is forcing other people to not buy them nt

[IronLionZion]

8. income and education are barriers to entry

many don't know how to get started or believe they don't have enough money to invest. There are index mutual funds and IRAs with very low minimums and low fees.

[linuxman]

10. Yep.

You have to participate to gain from it. I think it was Gretzky who said "You miss 100% of the shots you don't take"

I don't buy powerball tickets, but I don't sit around grousing about the winners after the drawing either.

Investing isn't important to everyone, and that's okay. Different strokes and all that.

[moondust]

9. Republicanism.

Wall Street is probably assuming the three Republican branches of the federal government will do absolutely nothing to rein in their destructive, self-serving behaviors. On the contrary, if they can pull it off this Republican government is likely to grant their every wish when it comes to tax cuts, deregulation, robotification, offshoring, and all the other profitability tricks that have allowed them to concentrate so much wealth and virtually destroy upward mobility for most of the population. The fat cats get richer faster and continue funneling millions into the coffers of their Republican enablers. Winning!!!

And in the U.K.: Young people are borrowing to cover basic living costs

Richer faster! Richer faster! Richer faster! Richer faster! Richer faster! Richer faster! Richer faster! Richer faster! Richer faster! ...