@BamBamInvest You are very committed and convinced of $HIMS (+0.05%) . Have you ever dealt with $TDOC (-0.37%) before? They are active in the same business field and I think they are quite promising.

The world's population is getting older and older, an irreversible demographic change with considerable economic consequences.

This article is intended to provide investment ideas and impetus. The stocks mentioned do not, of course, constitute investment advice, but merely serve as examples of potential beneficiaries of demographic change. Historical developments are no guarantee of future returns.

The main source is the short analysis "How to invest as the global population ages" by Goldman Sachs [1], which, however, does not name any specific stocks.

I have also added additional sources and charts.

__________

🌍 Demographic change: growth and ageing of the world's population

The world's population will grow to almost 10 billion people by 2050. But it is not just the number of people that is increasing, their age structure is also changing dramatically. [2]

Increase in the older population:

• The proportion of people aged 60 and over is rising from 8% (1950) to 21.5% (2050).
• In 2050, 2.1 billion people will belong to the over-60 age group.

Source: [2]

Regional differences:

Europe & North America have the oldest populations & remain the most affected demographically.

Latin America, the Caribbean & Asia: The proportion of over-60s will more than double between 2015 and 2050, reaching around 25 %.

Africa remains the youngest region: in 2015, there were 21 countries worldwide with a birth rate of 5 children per woman, 19 of which were in Africa. However, it should be noted that current statistics from 2024 show that the birth rate per woman in Africa was already just 4.07 in 2023 and could fall to 2.79 by 2050. [3]

While industrialized countries are struggling with an ageing society, Africa remains the most dynamic and youngest region in the world. This development can also have an economic impact and open up new investment opportunities. [2]

Goldman Sachs also comments in the article with similar figures, according to which the global population is expected to increase by around 20% by 2050 and senior citizens will make up a disproportionate share. The number of people over the age of 65 is expected to double from 800 million to 1.6 billion during this period. [1]

In view of this demographic development, there are opportunities to benefit from precisely this trend. Opportunities lie in targeted investments in sectors that could benefit from the growing proportion of older people.

🚑 Healthcare: A growing market worth billions

Facts:

• In the USA, people over the age of 65 already account for 36% of healthcare expenditure, although they only make up 18% of the population. Age-related diseases such as cardiovascular disease, diabetes and neurological disorders are driving up costs. [1]
• Alzheimer's cases are even expected to double worldwide by 2050.

Possible profiteers:

Medical technology

• Medtronic ($MDT (-0.22%) ) - (cardiac pacemakers, diabetes technology)
• Stryker ($SYK (-0.26%) ) - (orthopaedic implants, surgical devices)
• Siemens Healthineers ($SHL (-0.4%) ) - (imaging, diagnostics)

Pharmaceuticals

• Novo Nordisk ($NOVO B (-0.38%) ) - (Diabetes & Obesity)
• Eli Lilly ($LLY (-0.43%) ) - (Alzheimer's, Diabetes)
• Roche ($ROG (-0.12%) ) - (Oncology, Diagnostics)

🏡 Senior Living & Care: Bottlenecks in nursing homes worldwide

Facts:

The UK has a shortfall of over 30,000 senior units by 2028. [1]

In Germany, France and Italy there is a shortage of nursing home places due to the ageing population. [1]

In the US, only 2% of people over 65 live in nursing homes, leading to an increasing demand for home care and telemedicine. [1]

Potential beneficiaries:

Care providers

• Brookdale Senior Living ($BKD (+0.33%) ) - (senior living, care facilities)

Homecare

• ResMed ($RMD (+0.16%) ) - (sleep apnea, ventilators)
• Fresenius Medical Care ($FME (-0.04%) ) - (dialysis, home therapy)
• Coloplast ($COLO B (-0.29%) ) - (ostomy care, incontinence products)

Telemedicine

• Teladoc Health ($TDOC (-0.37%) ) - (virtual doctor visits, digital health solutions)
• Hims & Hers ($HIMS (+0.05%) ) - (telemedicine & e-health)

Anti-Aging

• L'Oréal ($OR (-0.27%) ) - (skin care, cosmetics)
• Estee Lauder ($EL (-0.92%) ) - (luxury cosmetics, skin rejuvenation)
• Revance Therapeutics ($RVNC ) - (Botox alternative, wrinkle treatment)

🚢 Leisure & consumption: The new "silver economy"

The following chart shows the distribution of wealth in Germany depending on the age of the main income earner. [4]

It is clear that older people tend to have higher wealth than younger age groups. This is reflected in the significantly higher values for the percentiles for age groups aged 50 and over. In particular, the groups aged between 50 and 74 have the highest assets.

The trends are also similar internationally:

• The wealth of older people is 3x that of millennials.
• Over-60s control more than 50% of consumer spending in many developed countries.
• The global silver economy could reach a volume of USD 15 trillion by 2030 (Oxford Economics).

This observation underlines the economic importance of the older generations and their central role in wealth distribution and consumer spending.

Possible beneficiaries:

Luxury

• LVMH ($MC (-0.42%) ) - (fashion, jewelry, wine & spirits)
• Hermès ($RMS (+0.07%) ) - (Exclusive Fashion & Accessories)
• Richemont ($CFR (-0.14%) ) - (Swiss luxury watches & jewelry)

Cruise (Over 60s book a third of all cruises worldwide [1])

• Royal Caribbean ($RCL (+0.08%) ) - (Cruises for seniors & families)
• Carnival ($CCL (-0.13%) ) - (mass market cruises)
• Norwegian Cruise Line ($NCLH (+0.46%) ) - (premium cruises)

Motorhome manufacturers/ recreational vehicles (47% of motorhome users are over 55 years old, In the UK, two thirds of over 55s have a motorcycle license, which may indicate a growing market for motorcycles and accessories. [1])

• Thor Industries ($THO (-0.18%) ) - (motorhomes, campers)
• Winnebago ($WGO (+0%) ) - (motorhomes & caravans)
• Harley-Davidson ($HOG (-0.15%) ) - (motorcycles and entry-level electric motorcycles)

🤖 Technology & automation: solution to the labor shortage

Facts:

The labor shortage caused by an aging society is becoming a global challenge. Automation, AI and robotics could help close the skills gap. [1]

Profiteers:

• ABB ($ABBNY (+0%) ) - (industrial robotics, automation)
• Fanuc ($6954 (-3.01%) ) - (robotics, factory automation)
• Intuitive Surgical ($ISRG (-0.36%) ) - (robot-assisted surgery)
• Siemens ($SIE (-0.2%) )- (automation & also medical technology)

🧠 Conclusion:

Demographic change offers long-term investment opportunities. Early investment in the right sectors can benefit from rising spending on health, care, leisure and technology.

I myself am still looking for one or two individual investments and am a little annoyed that I didn't get into Hims & Hers earlier, although I have been on the verge of doing so several times. Apart from the luxury segment with LVMH, the portfolio also includes Siemens as a conglomerate in the field of automation.

Do you explicitly take demographic change into account in your investments, e.g. in the form of individual shares?

Which shares do you have in your portfolio or do you still see them as an opportunity?

Thanks for reading!

_________

Sources:

[1] https://www.goldmansachs.com/insights/articles/how-to-invest-as-the-global-population-ages

[2] https://www.bpb.de/kurz-knapp/zahlen-und-fakten/globalisierung/52811/demografischer-wandel/

[3] https://de.statista.com/statistik/daten/studie/1343516/umfrage/entwicklung-der-fertilitaetsrate-in-afrika/

[4]

https://www.iwd.de/artikel/mit-dem-alter-waechst-das-vermoegen-489710/

$HIMS (+0.05%)

The gross margin of $HIMS (+0.05%) has almost tripled since 2018.

In 2020, the company was $HIMS (+0.05%) a relatively small player in telemedicine, with a market share of just 14 %.

By 2023 was $HIMS (+0.05%) the dominant force:

$HIMS (+0.05%) Had 49% of all customers/market share.

And even more telling: $HIMS (+0.05%) was able to acquire 54 % of all new customers.

I look forward to an update on these figures from management in the coming months

And it will be important to keep an eye on how this $AMZN (-0.21%) impact on market share over time.

Company presentation and personal opinion:

https://getqu.in/HSZkUo/

$AMZN (-0.21%) , $TDOC (-0.37%)

Part 4 of 5: During part 1 and 2 were my apprenticeship years on the stock exchange, Part Part 3 highlighted the very positive years 2019-2021. In part 4 it is now the turn of 2022 and 2023. Part 5 will then conclude my investor story (so far) and shed light on 2024.

2021 was an extremely positive year with a performance of over 30% and assets of almost €200,000 at the end of the year.

However, from mid-2021 onwards, you could already sense that something was slowly changing. Inflation has picked up significantly worldwide. The main reasons for this are the global supply chain problems and the massive money printing by the central banks. Both are direct consequences of the coronavirus pandemic.

The year 2022 - inflation & interest rate turnaround

The year 2022 began with a significant setback in January. My portfolio was down 8% in January. There was a lot of unrest on the markets, inflation was still far too high and it was not clear how much the Fed would raise interest rates. In addition, there were fears that Russia could invade Ukraine - four weeks later this was unfortunately a sad certainty.

Uncertainty - something that the markets do not like at all. In addition to inflation, the war in Ukraine suddenly created another risk: what impact will the war and the sanctions have on global supply chains, which are still under heavy strain? Will this

inflation even further and thus put even more pressure on the central banks?

The stock market was therefore under fire from all sides:

• Supply chains are weighing on companies
• Higher interest rates lead to higher interest costs for companies
• Higher inflation increases salary and purchasing costs, while sales fall as consumers (have to) save more
• Suddenly, call money accounts and bonds become more interesting again and there are alternatives to shares (TINA = there is no alternative was therefore off the table)

Above all tech and growth stocks suffered from further problems:

Many growth companies were not yet profitable, but could borrow money cheaply from anywhere - profits were irrelevant as long as sales were growing. By 2022, this had changed and unprofitable companies were even shunned. Another reason is the valuation of future profits. If inflation is 0%, profits will be worth the same in five years' time as they are today. If inflation is 5%, I have to discount the profit in five years at 5% and suddenly the profit in five years is worth much less in real terms.

If I invest in my portfolio 2022 there are only a few winners:

At the top were defense companies like Lockheed Martin $LMT (-0.07%)

and Northrop Grumman $NOC (-0.04%) . This was followed by safe-haven stocks like Pepsi $PEP (+0.18%)
Unilever $ULVR (-0.15%) or Johnson & Johnson $JNJ (-0.22%) Also Encavis $ECV was also in demand as an electricity producer due to the lack of gas from Russia.

At the bottom was everything to do with tech had to do with technology. The hardest hit were the unprofitable tech companies like Teladoc Health $TDOC (-0.37%) or Match Group $MTCH caught - both with 70% losses each.

But also Meta $META (-0.13%)
had price losses of 60%! The reason was not only the general situation but also the lack of faith in the Metaverseso that Meta also had an internal problem. In 2022, Meta was already counted as the next GE or IBM.

But also NVIDIA
$NVDA (-0.06%) also lost -45% got a good beating. Microsoft $MSFT (-0.09%)
Apple $AAPL (-0.24%) and Alphabet $GOOG (-0.15%) saw their share prices fall by -20 to -35% were also unable to escape.

What has me in the year 2022 keep going in 2022?

On the one hand, the thought that I can now buy many top companies much more cheaply, but on the other hand also the dividends. My dividends increased by almost 50% in 2022 compared to 2021 and at the end of the year I had dividends of over €1,800.

That's an average of €150 per month and that's with dividend growth companies and not high-dividend ETFs or similar.

Nevertheless, the statement at the end of the year didn't exactly look rosy. Having started with €193,000, at the end of 2022 the portfolio only stood at 178.000€ even though I had over 30.000€ invested. Price losses of ~€45,000 hit like a bomb.

After another slap in the face in December 2022 with -5%, everything should suddenly be forgotten at the turn of the year.

The year 2023 - Inflation, high interest rates? Never mind, we have AI!

On November 30, 2022, the world ChatGPT and since then we have been in an AI rallythat still has no end in sight at the end of 2024. The performance of the portfolio has turned 180 degrees. Everything that was at the top in 2022, such as pharma or consumer staples (Procter & Gamble, Pepsi,...) was suddenly at the bottom.

Suddenly at the top were NVIDIA and Meta with almost +200%.

With Crowdstrike, Salesforce and Palo Alto Networks there were

another three doublers in the portfolio. One Apple was with +40% already

rather a low performer.

The stock market got used to the normalized interest rate environment, supply chains were relatively intact again and inflation began to fall. All in all, a positive environment for the stock market, which was driven back up by a megatrend (artificial intelligence).

On the home stretch in December 2023, my portfolio was just about able to make up for all the price losses from 2022. In addition to price gains of ~€45,000, I also invested another ~€30,000, so that my portfolio increased by ~€75,000 in absolute terms.

My portfolio ended the year at ~178.000€ and at just over 250.000€ ended the year.

The dividends have also continued to rise nicely - from 1.900€

to almost 2.400€ upwards.

Asset development & return:

Year Deposit value Return

2022 179.000€ -21%

2023 252.000€ +24%

Vermögensentwicklung 2022-2023:

Outlook:

Vermögensentwicklung 2013-2023:

Outlook:

In the next part, I will look ahead to the year 2024 and thus also my portfolio update / annual overview cover.

The year 2024 continued to be characterized by AI, but also by falling interest rates and some political upheavals (Trump, traffic lights out,...).

The portfolio continued to perform extremely well in 2024, although the savings rate was lower than in previous years due to a number of private issues. Nevertheless, for the first time the 300.000€ in the portfolio was to be significantly exceeded.

Part 1: https://app.getquin.com/de/activity/PElWrODsmV

Part 2: https://app.getquin.com/de/activity/LUkWiLtZKX

Part 3: https://app.getquin.com/de/activity/mQAzDvfidK

#strategy

#personalstrategy

#etfs

#dividends

In Part 1 I described my start as an investor from 2010 to 2016. Despite loss-making investments and bad decisions (buying AT&T instead of Amazon), I was able to achieve a portfolio value of €35,000. These experiences were to lay the first foundation stone for my future successful investment strategy (https://app.getquin.com/de/activity/PElWrODsmV)

In part 2 I talk about further setbacks in 2017 and 2018 and how the purchase of MasterCard shares marked the turning point in my investment career. Despite initial losses and professional dissatisfaction, I realized that my original strategy wasn't working and discovered the "dividend growth" for me. With a new professional position and a solid salary, I was finally able to really hit the ground running in 2019 (https://app.getquin.com/de/activity/LUkWiLtZKX)

In part 3 it will now be about the years 2019 to 2021 will be discussed. In these 3 years, my portfolio has increased fivefold. From €40,000, it went up to €199,000 in the meantime. But not everything was positive here either. During this time, I also made the two worst trades of my investment career. In addition to Wirecard, there were two other equity investments that resulted in losses of over 80%.

The year 2019 & the first share savings plans:

The year 2019 started with a portfolio balance of ~€40,000 and after my MasterCard purchase in December 2018, my major portfolio reorganization was to continue directly at the beginning of 2019. So in the first four months with Tencent $700 (-2.63%)
Intel $INTC (+0.41%)
Salesforce $CRM (-0.26%)
Alphabet $GOOG (-0.15%) and Meta $META (-0.13%) (then still Facebook), five more tech stocks were added to my portfolio. In return I have BHP Billiton $BHP (+0.7%)
Macy's $M (-0.11%)
and Hugo Boss $BOSS (-0.18%) sold.

Later in the year, the shares of Mercedes $MBG (+0.12%)
and AT&T $T (-0.3%) were also removed from the portfolio.

In addition to further acquisitions such as Pepsi $PEP (+0.18%)
Nextera Energy $NEE (+2.07%)
or Xylem $XYL (-0.2%) I also recognized the benefits of share savings plans in 2019 and started to set up a pure "savings plan custody account". At that time, this was still done via comdirect or Consorsbank and each savings plan execution cost a fee of 0.75%.

Another sale in 2019 was the Gamestop-share $GME (-0.54%) . Bought in 2016 to have something to do with gaming in the portfolio, but not taking into account that stationary sales are becoming less and less relevant. In the end, the share price fell by 85% - unfortunately, this was long before the memestock hype emerged.

My portfolio rose to ~€67,000 in 2019 and achieved a return of 23%. However, this was still well below the MSCI World and the S&P 500.

The year 2020 - Corona, Wirecard bankruptcy & 100k before 30 in the portfolio

2020 - a year that few of us will probably forget. While everything was still going reasonably smoothly in January and February 2020, chaos was set to break out from mid-February/March.

The first few weeks of 2020 had given rise to hopes of a very positive development in my portfolio. From the beginning of January to mid-February, my portfolio rose by almost €10,000 to €77,000.

Panic then slowly set in from mid-February. I still remember exactly how trading on the US stock markets was repeatedly suspended for short periods and daily losses of 10% were normal. At 0 o'clock sharp, I looked at the US futures and in seconds the futures went down by -5%. A cap for the futures, the futures loss must not be higher and you knew the next morning it would end badly for the DAX.

But when there is blood in the streets, you can make very good deals! So in March 2020 I bought the Allianz
$ALV (-0.14%) for €118. This gives me a personal dividend yield of almost 12% based on the current dividend of €13.80. Unfortunately, I only bought for €1,000 in total.

Also Starbucks
$SBUX (-0.09%) I was able to buy for less than €50.

The stock market crash continued until the Fed made short work of it and ended the crash single-handedly. The crash was ended with interest rate cuts and massive money printing and once again the saying "Never bet against the FED" proved to be true.

The stock markets then went through the roof and within a very short space of time were already back to a positive level compared to the end of 2019. Every share that somehow falls under the term "stay at home" was suddenly the hot tip on the stock market. Whether the Peloton $PTON (-0.63%)

or Teladoc $TDOC (-0.37%) everything went through the roof.

I let myself get carried away and did about 10 "Stay at Home" hype stocks into a growth savings plan portfolio. Of these, at the end of 2024 with Sea $SE (+0.18%) and MercadoLibre $MELI (+0.5%) only two shares remained. It goes without saying that most of them left the portfolio at a loss.

But 2020 was also the Wirecard year $WDI BaFin's ban on short selling, a year-long audit by EY, political backing and massive investments by German fund managers from DWS, UnionInvest and Deka vs. a journalist from the Financial Times.

Wirecard's claims that the journalist was in cahoots with short sellers and the backing from various institutions were unfortunately too credible for me.

When Wirecard faced the press and announced that EUR 2 billion could no longer be found, things went downhill and it became clear to everyone that the company was heading for insolvency. Before trading was suspended, I was able to sell my shares at a 50% loss and got off lightly.

Later in the year, I was able to conclude an extremely favorable leasing offer and sell my private car. The proceeds went straight into my securities account and I broke the €100,000 barrier in November 2020.

My portfolio then ended the year with a value of ~€120,000. At +5%, my performance was pretty much in line with the MSCI World.

The year 2021 - HYPE! Wall Street bets, crypto and almost 200k in the portfolio

The year 2021 was characterized above all by hypes. Cryptocurrencies, memestocks and memecoins were in the headlines everywhere. Gamestop, Dogecoin, SPACs and NFTs everyone had to have.

Traditional shares became almost boring.

One of the reasons was certainly the checks that the US government issued to its citizens. It was still Corona, many were locked down and suddenly people started gambling on the stock market.

The hype can be illustrated very well using the example of NFTs. In 2021, NFTs worth $17 billion were traded, in 2023 it was only 80 million - a decline of 97%. According to one study, ~95% of all NFTs are now completely worthless.

The madness in one example: Procter & Gamble launched a Charmin toilet paper NFT. This was sold for over $4,000. All proceeds were donated, but a symbol of the madness of 2021.

From a portfolio perspective, 2021 was great! In the end, there was a +32% return and a portfolio value of over €190,000, which at times in November 2021 was €199,000.

My top performers were NVIDIA
$NVDA (-0.06%) with over 100% price gains and Pfizer $PFE (-0.02%)
, which was driven by the vaccine hype and at €50 was twice as high as in 2024.

My worst performer was another 80% loss with TAL Education $TAL (+0.93%) . An education company from China. Unfortunately, this was the first time I was able to experience the political arbitrariness in countries like China. Overnight, it was decided that education/tutoring could only be run as a non-profit. Of course, this was almost a death sentence for the company and the share price plummeted by 80%.

Asset development & return:

After the years 2013 to 2018 were forgettable in terms of returns, the years 2019 to 2021 finally delivered:

Year
Deposit value
Yield

2019 67.000€ +19%

2020 121.000€ +5%

2021 193.000€ +34%

Vermögensentwicklung 2019-2021:

Vermögensentwicklung 2013-2021:

Outlook:

Looking back on the hype year 2021, it is almost obvious that 2022 had to be clearly negative.

After the party, however, came the hangover in the form of inflation and the war in Ukraine. Sharply rising interest rates and global economic concerns did the rest.

In the next part, I would therefore like to look at the years 2022 & 2023. I will then combine 2024 with my review of the year in the last part.

#strategy

#personalstrategy

#etfs

#dividends