Changing demographics and the associated trends of baby boomers in particular is fascinating to me.

Typically, as people get closer to retirement, money managers used to hold more bonds in order to protect the portfolio from equity-market swings. This may need to change, as a switch to stocks has been underway.

Even at retirement, we’re advocating for clients to have more than 50% in equities. Most people undersave and so they need that equity risk. It is not yet clear what the eventual impact will be, given variables such as immigration flows, advances in technology and automation, and productivity gains.

BlackRock, the world’s largest asset manager, sees opportunities. The $10 trillion asset manager has upped allocations to European and US healthcare stocks on the view that future demand is not fully baked in. I agree.