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Absolute Return Partners does not offer investment advice to private investors (Retail Clients as defined by the UK Financial Conduct Authority). All such investors are advised to contact Quartet Investment Managers on +44 20 8939 2920 or visit quartet-im.com.

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War is just demographics in a hurry.
Gary Brecher

Our long-term Investment Megatrends

Changing Demographics

The end of World War II brought with it the biggest baby boom ever experienced. Now, 75 years later, baby boomers are retiring in big numbers every year. The OECD expect no less than 150 million workers across developed markets to retire over the next 15 years.

When the largest cohort in history is exposed to these forces simultaneously, the effect is profound. Spending patterns change. Older people, for example, spend less on certain items and more on others. They often downsize their home and they drive less too.

Changing demographics directly affect financial markets as demand for income increases, causing a structural shift in demand away from equities towards bonds and other forms of ‘alternative’ income. This is driving yields further down, leading to a growing headache for pension funds which are struggling to fund their pension obligations.

Responsible investing

As part of our commitment to responsible investing, we are signatories of the UN PRI and have linked this megatrend to the following UN Sustainable Development Goals:

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