By Mike Bird Updated June 6, 2019 6:53 a.m. ET Which will do better: a portfolio of stocks geared to goods and products favored by baby boomers or by millennials? Photo: Photo Illustration by Emil Lendof/The Wall Street Journal; Photos: iStock The millennials have come of age, but the impact of that generation on the stock-market’s returns is only beginning.
The second portfolio was designed to capture the needs and desires of the wealthiest cohort, the baby boomers born between 1946 and 1964, who have entered or are entering retirement. While some chains have embraced such foodstuffs, Arby’s President Rob Lynchscoffed in an interview that “people aren’t willing to pay more for something that tastes worse.” That rupture may go some way to explain why Beyond Meat is now the most expensive U.S. stock to sell short. The matter of taste is subjective, but many investors are now betting that a younger and increasingly affluent generation will indeed pay up for something they regard to be more ethical or environmentally friendly.
Entertainment presents a stark division: As younger people embrace streaming companies such as Netflix , traditional TV networks like CBS are increasingly broadcasting to people in their 60s or older. The leisure preferences of the different generations are reflected by the portfolios. Recreational-vehicle manufacturers like Thor Industries and cruise lines including Royal Caribbean appear on the boomer list, while some that produce exercise equipment or benefit from increasingly available legal marijuana, such as Canopy Growth , appear in the millennial mix.
Both portfolios are equal-weighted to avoid domination by larger or more volatile names. Past performance means little since some in the millennial portfolio, such as Beyond Meat and Uber Technologies , have listed only recently.
When I was in college, WSJ was at the top of the most respected list. What happened. That article was on a high school level. All opinion and distorted at that.
TheEconomist CNBC 247WallSt Millennials' optimism and confidence in part reflect the fact that many grew up during the current seven-year bull market. 'Their natural self-assurance, along with the market growth most have experienced...
Aaaaaaaaand once again, Gen X, quietly actually getting all the real work done.
Neither both are fiscally responsibile
The correct answer is that this is the wrong question.
Boomers are the past. Millenials are the present.
Here’s another reminder that Gen X exists. 🙄
Caters to millennials!
Silly question, baby boomers of course, it's the last generation with a decent retirement/money in their pockets..
The one that makes $$$
60 BB, 40 M
Good piece . Insightful
Who gives a sh•t about this? The market is unpredictable, unstable economy. We need to impeach Trump now to get back to normal. I’m sick of it. Market keeps going up and down depending on Trump’s mood. We just can’t invest our money like this.
An interesting premise; I'll follow-up on this theory. The holy grail for my retirement planning, the Social Security Actuarial Life Table, has me with a little better than 50% of making 2035.
Why are we talking about millennial so much? You know a good portion of Gen Z is adults now, right?
Depends on who you are.
It is a dumb question. Good companies produce goods and services that appeal to all. Generational spending is a click driven red herring. I lost five minutes of my day on this nonsense.
LMAO ... Us Gen X'ers will keep up the boomers way with conservative investing etc looks like the mills need to get work on Gen Z for their retirement...
Baby boomers = worst generation. By FAR.
Slow news day?
Follow the money. Which generation has the most ?
Wow, Gen X overlooked again!
WAter
neither