Half Of Americans Made No Money In The Biggest Bull Market In History
We just witnessed the longest and strongest bull market in the history of the USA , and what did nearly half of all Americans do about it?
So what gives? Why are 43% of Americans still not profiting from the greatest bull market in our countries history?
The number one excuse Americans use for not saving money is that they don't make enough of it. I'm sure that for some people this is true, but most of those people are lying to themselves when it comes to how they spend their money or probably don't realize that just $10 a week can grow into a $564,231 nestegg.
In 2007, at the peak of the last bull market, just 34% of Americans were not in the market. So what on earth is going on? What makes this bullmarket so different that 21% less Americans are invested at the peak of this bull market than the last one?
Gobankingrates.com took a poll and this is what they found.
Other than "Don't Need To", and wouldn't that be nice, I've used every single one of these excuses too. But these are the excuses we always hear and they still don't explain why there are so many less people investing in this bull market than in the last one.
Could there be another reason? I have a theory.
During the "great recession" of 2008 millions of baby boomers lost a lot of money in their retirmement acounts. Between October of 2007 and March of 2009 the S&P 500 plummeted 56%. Since the boomers are now already retired or nearing retirement age they have been afraid to get back into the market.
To make matters worse, according to Investopedia 10,000 baby boomers are retiring every single day. The truth is that if you're retired or nearing retirement age your exposure to the stock market should be limited. So they aren't being ridiculous, they just had bad timing caused them to miss out on the best bull market in the history of our country.
Is there another reason that Americans have been sittting out of this bull market? Let me know about it in the commments below.