Over the weekend, although I did not watch, I saw a listing on the onscreen guide for ATV racing (also on the Deuce). As more and more channels get put onto our set top boxes there will be more and more "sports" televised in the future than now. There are more sports televised today than ten years ago.
This will seem crazy but I think there is a retirement planning tie in to this along the lines of a part time job. Where I live plenty of people drive ATVs (this is an example). A few years ago, before I had the blog, I owned shares of Polaris (PII) as a demographic play. The idea was boomers get older, buy second homes and get a couple of big toys to go along with the home like an ATV.
I had a lucky trade and have not really thought about the stock since and while I don't know if the stock has benefited from this since I sold out the company should be, at least I am seeing it play out first hand here on the mountain.
It would behoove all of the manufacturers to sponsor events in all sorts of age groups with prize money to be won. Now think about applying this to products from other types of activities. I am envisioning a wide but shallow pool of money for these things. Other ideas could include fishing, hunting, bowling, dominoes (another sport covered on the ESPN family of networks) and so on. I realize professionals already do some of these things but I am thinking wider and shallower and there must be many others ideas.
I am talking about activities that people love to do that they could compete in and make some money. If a relatively young retiree (say around 60) could compete for a few years and clear $10,000-$15,000 per year as part of a $75,000-$100,000 income need they could relieve some portfolio stress for the time they could compete.
I realize this is sort of far fetched and anyone could naysay this for several reasons but I think successful retirement in the next few decades will require innovative ideas. If it becomes possible to make money as described above plus a part time job plus, if you can find a niche, eBaying your (or as in my case your inlaws') crap you can relieve a lot of stress on your portfolio plus stay productive.
If you are not VERY wealthy or don't want to work at your job until you are 80 some sort of idea that you can come up with could be the difference between an easy or difficult retirement which is the big macro behind this post; be accountable for your own result and think outside the box.
Good luck and congratulations to Cecil Cooper, the new manager of the Houston Astros.
14 comments:
Along a similar line:
In S. Korea and several other countries, people get paid for competing in computer games. Blizzard entertainment (vivendi owned) has Starcraft and World of Warcraft and these games have an active group of both competive players (for prize money) and players that buy and sell virtual "stuff."
Not only could retirees have something like this to make money from, but the companies that sponsor events, make the products, and or monitor competitions might be good investment ideas. (as are the same from the above usually more youthful moneymakers)
For retirees, I vote for competitive gardening!!!
Great demographics, potentially great videos of competitive garden construction,
Great tie ins to tool makers, fertilizers, roundup, etc.
Good exercise, healthy activity.
Current associations are already set up from which to "break ground" like garden clubs and garden tours, online garden forums, magagzines, etc. around the country.
Of course, some might say "watching grass grow" couldn't be watchable, but scrabble doesn't seem overtly exciting either.
While these are things I know nothing about I believe there are professional video game leagues in the US. As far as gardening aren't there competitions for the the biggest rhutabega and the like already? Isn't agribusiness an emerging industry? I do not know how popular this would be but it is not outside the realm either.
http://tinyurl.com/ys5bav
The above is a pdf from the Fed on household debt. If you at least look at the lower graph in figure 1 you see house hold debt to personal income has gone from a little less than 0.6 in 1980 to almost 1.2 times personal income in 2006.
This personal debt will one day contract relative to personal income. This will be very unpleasant.
It may not happen now. It is difficult to predict when and exactly how it will contract, but if I were you I would keep a close eye on it as it can not increase for ever.
doubling in 25 years strikes me as being slow enough to be thought of as evolutionary. The optimist in me would hope that the solution could be a slow turn in the other direction and the the US economy would continue to evolve to make up what could be a spending decline.
I concede I may be too wishful.
I think 0.6 of personal income was rather low my self. But if it contracts to 1.0 for sake of argument it still contracts.
the consumer will see inflation, recession, or both. The second derivative of corporate earnings will suck and stock prices will decline.
That said, I have know idea if we are at a top or if consumer debt to personal income could continue to expand for some time. Anyone could have made this argument 5 or 10 years ago (and many did).
None the less I would keep a close eye on it. I have know idea how you expand a consumer credit bubble beyond over priced houses.
How much looser can credit get than no money down, no stated income for a mortgage? So yes I do anticipate this may be the top.
But, never ever under estimate the Fed or consumers appetite to spend. On the flip side I expect when ever this does happen buy and hold will go from looking like the obvious intelligent choice to extremely naive and stupid course of action. (things always tend to go to extremes).
Again I wish I could predict when this will happen with certainty. However I have seen to many predictions have been wrong in the past.
None the less I like cash until for the short to medium term with all the current mortgage issues. Which is not to say I will not change my mind.
How much looser can it get? How about this... "get a mortage with us and we'll make your first three payments!"
I don't see that happening because the undoing has probably begun but had the panic not come when it did we could have seen that in the near future. No?
Actually here in Florida I think some of the home builders offered a lot more than three payments. So they have already far surpassed your suggestion, but I certainly get your point.
I clearly concede never under estimate the power of the Fed. Still I stand by my comments and will remain rather cautious in the near term.
Characterizing 15-20 stocks in different sectors as diversification has always struck me as something of a parody of the concept; add bonds and cash is better but the universe is still confined to financial assets; adding commodities and real estate is wider still and that's good; but add your ability to make and manage money, your vocational and avocational interests and skills, and the concept really begins to take shape.
Makes sense of the idea that one should always pay themselves first (including skill-building).
And continuing to live a purposeful and productive life is a better concept of retirement too IMO.
This may be mundane, but I view investing as a hobby. I enjoy a few blogs, write a bit, read a lot and have a great time looking at investment possibilities and feel satisfaction doing something well that many find elusive or boring. Plus,using your brain may prevent its deterioation that comes with a lack of regular application to challenges.
It's not better than sex, but investing is a lifetime endeavor - a great hobby. It will sure beat talking about bowel movements or medical procedures as I hit the golden years.
interesting....http://tinyurl.com/2kqjvc
not to top anyone....but I told my
son to wait awhile cause it will be "buy one (condo) get one free!"
but then I remember driving up the
Atlantic Ocean in the '70's and
seeing condos boarded up on the ocean...this was not for hurricanes
...it was overbuilders.
If we spend 10 k on a polaris to compete for valuable prizes, aren't we fishing in shallow water? $2 for dominoes?, sure. Thousands for a bass boat?, if it's good for business to sponsor such events, doesn't that mean the corp ends up with the money, the average competitor, less...
Roger,
Very interesting post about new ways to enjoy and profit in retirement. Those insanely annoying American Express commercials do have one thing right, the Baby Boomers idea of retirement will be very different!
Now for something completely different, please permit me to post a very amusing limerick from MacroMan
Old Mother Hubbard went to the cupboard
To get her poor dog a loan
She lied on the docs
(She was sly as a fox)
He ran off when the teaser was done
:)
T and RW, exactly on point.
Charlie, I do say clear $10-15k.
LindaP, great limerick.
The boarded up condos? That was different...oops.
Stealth retirement income sources are one of my favorite themes here on Roger's blog. I recently learned a younger friend of mine has entered chili cooking contests (and there's a separate salsa division). The first prize can be as much as $10k. Some of the contestants travel the "circuit" evidently, seeing the country along the way, and establishing new social networks.
Sharon, here in the Seattle area there's a large garden contest that's been in existence for 10+ years. First prize is a trip to the Chelsea Garden Show. But very expensive hobby to compete at that level...acquiring the latest and greatest plants, soil amendments, supplemental watering, etc., etc.
But very satisfying for those with good garden design talents.
Post a Comment