Younger generations have gained more wealth than other age groups since 2019

https://www.cnbc.com/2024/02/15/younger-generations-gained-more-wealth-than-others-since-2019-study-says.html

by donsupreme • 2 years ago

14 18 2 years ago

cnbc.com

balderdash• 2 years ago

Surprise! Thing with small denominator has large percentage growth vs thing with large denominator /s

pennomi• 2 years ago

Granted, those under 40 are still the poorest of the generations.

Yep, this title seems to be cherry-picked to sound positive despite not actually changing much.

gruez• 2 years ago

> Granted, those under 40 are still the poorest of the generations.

I'm shocked, SHOCKED that generations that had more time to accumulate wealth has more wealth accumulated!

nytesky2• 2 years ago

As usual, GenX gets left out. Boomers got rich. Now Millenials.

Good thing we don’t care… #slackergeneration

syndicatedjelly• 2 years ago

No one forgot about Gen X, Gen X forgot to have a generational identity.

As a member of the hated “Millenial” generation, that honestly sounds nice

the_jeremy• 2 years ago

Per the article, GenX is worth twice what Millenials are. Can you provide any evidence for your assertion?

nytesky2• 2 years ago

Again we are much older so wealth over time but we had peak earnings during lost decade.

And really it’s probably late Xer who tried to buy a home after they tripled in early 2000s just as we graduated.

icu2• 2 years ago

You're only winning as a GenXer if you bought your house at all time low interest rates. If you're still renting you'll find it exponentially harder to save purchasing power in real terms to buy a home and you're still faced with affordability slipping away due to higher interest rates. Add in job losses due to AI and it's bleak.

michaelbrave• 2 years ago

Millennials are 30's-40's now, they got skipped too.

edmundsauto• 2 years ago

How much of this is because older generations had a lot of Covid deaths? Presumably those assets were passed down.

vikingerik2• 2 years ago

Not much. The article says 1Q 2019 to 3Q 2022 is the cited timespan. Covid accounted for less than 10% of overall deaths in that period, and many would have passed away anyway in that time (the average remaining life expectancy of a Covid death was something like 9 to 18 months by different surveys I saw.)

Covid was probably a factor in the numbers, though; young people were both locked inside and couldn't go out to spend money, and also were handed free money by the government.

Although that's probably a small effect too. I'd guess the largest real reasons are the increasing minimum wages in many states, and the decline in starting families and raising (expensive) children.

thebruce87m• 2 years ago

Where are you getting 9 to 18 months? Everything I’ve seen suggests 10 years:

https://abcnews.go.com/amp/Health/people-coronavirus-dying-1...

Using a statistical measure called "years of life lost," researchers found that COVID-19 strips more than a decade away from a person's life, on average. For men, the viral infection takes away about 13 years of potential life lived. For women, it's more like 11 years. Both numbers account for underlying long-term conditions.

icu2• 2 years ago

In nominal terms, but in real purchasing power? No. If you take the S&P and divide it by the Fed balance sheet it's gone sideways. The only securities that have grown relative to the Fed balance sheet, so in real purchasing power terms, is the NASDAQ 100 and BTC.

So what's happening here? Well currency is being debased through Fed asset purchases. The Fed is manipulating the price of assets and flooding financial markets with liquidity, while simultaneously making it look like inflation (how it is traditionally measured) is low. Inflation measures don't take into account stock market prices.

However you can't blame them for doing this now. The system could have been de-leveraged in the 90s but post 2008 if the Fed doesn't do this the entire global financial system would collapse if the securitized collateral of the system was allowed to correct due to hypothecation. No one wants the US to end up like Argentina. So now the West is ending up more like Japan where the BoJ is the purchaser of last resort.

All my analysis points to the only chance non Boomers have is push out far into the risk curve by buying BTC, and/or the NASDAQ 100 (or the "Magnificent 7 Stocks" consisting of Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia, and Tesla if you want to concentrate your holdings and avoid annual ETF fees).

You can forget most of what's taught in a CFA or in a Finance degree. The collateral of the system cannot be allowed to crash and so market interventions will continue until a new financial system is imposed (probably CBDCs).

Only network adoption rates seen in BTC (and more risky crypto) or growth fueled by tech/software companies (and AI by extension) eating the world can outpace Central Banks.

fxtentacle• 2 years ago

"Granted, those under 40 are still the poorest of the generations."

Well at least the article is honest about it. But maybe this indicates the beginning of things getting better :)

red-iron-pine• 2 years ago

better in the "not at minimum wage anymore" sense, but not good

Younger generations have gained more wealth than other age groups since 2019

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