Ageing Population

The greying of the prosperous parts of the world has long been forseen. Much less well know is the fact that well-off countries are far from alone in facing the prospect of an agening population.
As more amd more Indians and Chinese escape from poverty, they too will have longer life spans.
By 2050 the percentage of the Indian population over 80 will have risen five-fold, and the same segment in China will have gone up six times. The reasons for such increase are
1. peoples general health is better
2. childbirth is safer and malaria more treatable.

By 2050 about 80% of all deaths in the world will occur in people who are older than 60.

Pension Planning

Planning for retirement is the most difficult question faced by most of the people.

Although its easier said than done here are three questions one most ponder and decide to have a comfortable retirement life.

1. When do you want to retire?
2. How much do you want to save?
3. How much minimum percentage of your final salary do you wish to target?

The are countless of other questions and bets one will have to take like long term inflation, interest rates, cost of living, medical costs etc to come up with the right pension amount. And I am sure at the end it will feel you should have done more.

My simple advice is take life (professional career, personal life etc) in 5 year buckets. Its much easier to break down long term goals into shorter term targets which are easier to predict, manage and remember!!!

Think about where you want to be in 2020!!!...

China Car & Fuel Sales - Fantastic Statistics

I came across an amazing piece of statistics. It goes like this.....
Car sales in China are up 50 % year on year, however fuel consumption is the same as compared to last year.
The optimists argue:
1. The car sold are more fuel efficient.
2. Since fuel prices have gone up year-on-year (China also has the same administered price regime like India), the usage of car has gone down.

The pessimists argue:
1. Under the stimulus package State Governments have been asked to buy cars, which are now parked in the Govt offices.
2. The car sales numbers only reflect the sales made by manufacturers to dealers. There is a huge inventory built up happening at the dealer level.

China Garlic Bubble

Wholesale Garlic prices in China are up 400% as compared to last year.
Three reasons for the price rise
1. Garlic was suppose to be the cure for H1N1. But thats a myth.
2. Speculators have taken huge futures position. The stimulas money has been used to bet on agri commodities.
3. Garlic was the worst affected corp in 2007 with an acute shortage. This has resulted in the demand supply gap.

Why invest in stocks if you can pick a couple of such agri-commodities?
What will be the next bubble agri-commodity?
My hunch tells me it would be something in spices. More on it once I have made some money.