This Is Your Father’s Stock MarketIssue 12-04-17 |
The top rate of stock ownership, 58 percent, is among families headed by people 55 to 64, just before traditional retirement age. The numbers from the Federal Reserve's most recent Survey of Consumer Finances suggest a generational change: Americans who have relied less on traditional pensions and more on 401(k)s and individual retirement accounts are aging into the 75-plus group.
Younger Americans are less likely to own stocks today than in 2007, likely due to the lingering trauma of the financial crisis. Workers have faced a sluggish pace of wage growth throughout the economic recovery. This, in addition to the record levels of student debt, has made it difficult for young households to save and invest at all.