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Well some investors looking -- energy -- of the future technology but what about looking to Democrat demographic trends for your next big investment idea.
It's exactly what our next guest is doing and he's here to tell how to cash in on the echo boomers will tell you about that is that you joining us now Charles Sizemore.
He's editor of the size more investment YOK echo boomers it was a new phrase to me I'd heard of these.
Correct me if I'm wrong but these -- people who are now in their twenties or thirties is that right.
You got it now everyone's heard of the baby boomers everyone knows who the big news for the baby boomers were there -- that large generation born after World War II.
They're highest birth years -- the late 1950s and very early 1960s.
Well those Davies head Davies of their own in the late eighties and -- early 1990s and that's why we call them the echo boomers they're an echo -- the original baby OK but also known -- Generation Y.
Let's let's be more specific about about the character of these people they've they're well educated as we -- -- know because.
They were put through some very fancy -- -- -- Colleges and universities but they don't have a lot of savings.
And and they also have a lot of debt all of that education cost a lot of money in many of them are still in debt.
So it doesn't seen that on the surface to be very -- appealing group of consumers.
All right well they're not if you look at them today views of the people serving you coffee at Starbucks a by the end of this decade.
That guy or girl serving you coffee is going to be a mom or dad and that's the real investment play here the Stanley formation of yet -- Don't think ahead several years here.
Right like I said these guys are just getting out of college right now when they're not ideal consumers they are heavily loaded with debt and they're young they don't have high -- right now.
Flash forward a good five to seven years this is a growth story just as there's a baby -- after World War II.
There was an echo baby due in -- and 1980s and very early 1990s.
There's going to be another baby -- here about thirty years later would you put it at the end of this decade OK let's got to look ahead -- didn't -- Let's get to the stocks that you say -- gonna do well because of these people coming of age.
And you say that these Starks who will have a premium of about 5% over the overall market tell -- which starts.
And why you think they'll they'll work with the echo boomers.
You got it what you had to do here is yet to think what's the next stage and the next stage for these guys is marriage and -- formation.
Think diapers thank baby formula.
A nice portfolio the village here would be the baby formula makers such as Abbot labs a maker of some black and -- Johnson the maker of Nathaniel.
Those are two great plays there -- not going to consider is Bed, Bath & Beyond.
Bed, Bath & Beyond their biggest competitor went out of business during during the -- -- they compete with everybody compete with Wal-Mart with target with every department store.
But they're the best pure play.
For home women's towels sheets the sort of thing in new couple needs to buy when they get married and start a family.
Those are great ways to play it diapers are a great way to play Kimberly-Clark is the maker of -- Which is psychedelic Pampers you could do.
Procter & Gamble what -- the Pampers play as well.
There's just a list targeted play.
That's a fantastic portfolio now I would expect to be clear this is a slow moving portfolio I'm not telling you to go by this today you could -- had me on last month.
You could -- me on a month from now.
And the story here would be about the same this is a fight to team you're playing here taking advantage of the -- -- these echo boomers are right -- right finance Charles only.
We -- we got to move on because we don't have much time but I just have to ask about technology in general because the one thing that does unite the echo boomers is a love of technology they grow up way that.
They have digital brain's not analog brains like I do so they.
They're focused on technology is is do you see a boom in tech stocks as a result of these people coming of age.
Well we guard you have a lot of the doom we've had in -- years with apple and Google what had you a lot of that was due to young consumers.
So we already have seen it and I think will continue to see more.
That's there's more -- there's more variable there there's a lot more moving parts of the -- Democrat who plays of things like formula and diapers.
That's easy that simple.
Charles Sizemore the size more investment letter Charles thank you very much appreciated.
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