- By 2050, globally 1 in 6 individuals will be over 65, this is an increase from 1 in 11 in 2019.
- It is anticipated that retiring Baby Boomers will generate a $1 trillion yearly economic effect.
- Older consumers are the reason for increased need in healthcare, chronic care technology, and prescription services.
- Financial service companies are growing their retirement-focused offerings to protect against longevity risk.
- Cities such as Las Vegas are becoming real estate hotspots for 55+ communities.
As the world population ages steadily, informed investors are paying attention to one of the most significant and long-term macroeconomic shifts ever seen. With more older adults than ever before, industries like healthcare, financial services, real estate, and technology are changing — and revealing considerable possibility in the process. Whether you are considering strong aging population stocks or planning your retirement investment approach, demographic investing presents a strong method to create long-term value.
What Is Causing the Aging Population Trend
The global aging trend is speeding up at an unprecedented rate, because of progress in healthcare, falling birth rates, and longer life expectancy. According to the United Nations, by 2050, individuals aged 65 and older will represent almost 16% of the world population, a considerable increase from 9% in 2019 — that’s roughly 1.5 billion older adults worldwide by mid-century.[^1]
The U.S. is predicted to see its older population almost double to over 90 million by 2060. Important to this change are the Baby Boomers — born between 1946 and 1964 — a generation totaling approximately 73 million in America. As they retire in large numbers, they are not simply getting older without action. This group is asking for improved healthcare, more advanced financial planning tools, and housing that supports longer, healthier lives.
Increased longevity implies several things:
- More years in retirement requiring increased financial support.
- Higher occurrence of chronic illness and long-term care requirements.
- Increased awareness to economic policy structures, including Social Security and Medicare.
All of these facts are bringing about what has been called the “silver economy” — a multi-trillion-dollar economic revolution built around older consumers.
Understanding Demographic Investing
Demographic investing involves aligning investment strategies with population changes and demographic patterns. Instead of reacting to short-term cycles, this method utilizes slow-moving but very impactful trends, such as globalization, generational migration, urbanization — and most importantly, aging.
The main attraction? Demographics are consistent and very predictable.
Consider population aging: medical studies, census information, and actuarial science offer a clear picture of how an aging population will grow and act economically. Investors using demographic investing concepts can access sectors likely to profit most from these changing needs — from technology focused on older adults to specialized insurance offerings and medication innovation.
Institutional players like BlackRock, Vanguard, and pension funds routinely consider demographics in long-range asset allocations. If you are an individual investor planning your retirement investment approach, recognizing how themes like aging will change demand across industries can assist you in aligning your portfolio with reality — and opportunity.
Mizuho’s Stock Picks: Who Are the Expected Winners?
Mizuho Securities sees older consumers as a $1 trillion opportunity and has identified several companies ready to gain from this major trend[^2]. What makes these firms notable is their strategic alignment with longevity needs: preventive care, chronic disease management, insurance adaptability, and patient-focused delivery systems.
Humana (HUM)
One of the biggest providers of Medicare Advantage plans, Humana actively serves more than 5 million members. Medicare Advantage enrollment has increased steadily, outpacing traditional Medicare, partly due to its inclusion of wider services like vision, dental, and wellness benefits.
Important positive factors for Humana include:
- Increasing senior enrollment in Medicare Advantage (projected to go beyond 60% of all Medicare beneficiaries by 2030).
- Strong brand name and provider partnerships.
- A greater concentration on wellness programs and care at home.
HCA Healthcare (HCA)
As one of the U.S.’s leading private hospital operators, HCA owns and runs over 180 hospitals and 2,000 outpatient locations. They are especially well-positioned to serve the aging population’s growing requirement for surgeries, chronic disease monitoring, and emergency services.
Why HCA is important:
- Older patients represent the fastest-growing group of users of inpatient and outpatient services.
- Healthcare infrastructure need is predicted to rise 75% by 2030.
- HCA’s size provides cost efficiencies and access to changing telehealth infrastructure.
Dexcom (DXCM)
Dexcom is a leader in the continuous glucose monitoring (CGM) market. For aging populations managing Type 2 diabetes — a condition that affects roughly 27% of Americans over 65 — Dexcom offers user-friendly tools that lower emergency incidents and improve patient control.
Significant growth drivers:
- Addition of CGMs into wider care plans and insurance payment models.
- Growth into wearable, smartphone-compatible platforms.
- Aging diabetic populations in North America, Europe, and Asia.
Insulet (PODD)
Insulet is most known for its tubeless, wearable Omnipod insulin management system. It is created to work smoothly with CGMs like Dexcom’s, providing a complete diabetes management solution.
What makes Insulet different:
- Ease and compliance for older adults managing advanced diabetes.
- Tech-focused approach meeting growing demand for self-care at home.
- Double-digit growth rates driven by insurance growth and overseas markets.
These companies are combining technological innovation with service designs focused on older individuals — the characteristic of successful aging population stocks.
Sector Spotlight: Healthcare
Healthcare is certainly the foundation of demographic investing. Due to sheer volume and urgency, older adults use considerably more healthcare than any other age group. This results in rapidly increasing demand in both traditional and new medical sectors.
Important Trends Boosting Healthcare Investment Potential:
- Chronic disease occurrence is increasing: 80% of U.S. older adults have at least one chronic condition.
- Movement of care from hospitals to homes is growing.
- Preventive and diagnostic health technologies are reaching mainstream use.
The push for value-based care — where providers are paid based on patient results rather than volume — also fits with the needs of aging consumers. Companies innovating around these concepts are expected to be top performers.
Notable healthcare areas tied to aging population investing include:
- Memory care and neurodegenerative research (e.g., Alzheimer’s drugs).
- Dialysis and cardiac monitoring at home.
- Mobility aids and orthopedic devices.
Healthcare REITs, including Ventas and Welltower, also profit from the increased demand for assisted living and medical office buildings created for aging users.
Sector Spotlight: Financial Services & Retirement Solutions
Retirement investing is becoming more complex as people live longer. The past assumption of a 20-year retirement has now extended to 30+ years in some cases. That is changing how financial services companies create and market retirement offerings.
How Financial Firms Are Adapting:
- Expanded lifetime income choices like annuities and deferred income funds.
- Target-date funds that extend allocation into later retirement decades.
- Customized advisory programs specifically targeting Baby Boomers transitioning out of the workforce.
Firms like Fidelity, Charles Schwab, and Vanguard have introduced modeling tools to assist older adults in calculating health-related savings predictions — a key differentiator as healthcare costs depend on both inflation and personal behavior.
Investors should search for wealth managers and insurers with strong retirement divisions that add healthcare, taxation, and estate planning into a smooth experience.
Aging Meets Technology: Growth of AgeTech Stocks
Technology and aging might seem like an unexpected combination, but older adults now represent one of the fastest-growing user groups for wearable technology, smart home devices, and telehealth.
Standout AgeTech Growth Segments:
- Telemedicine platforms, now common after the pandemic.
- Smart home monitoring systems preventing falls, dehydration, or isolation.
- GPS-powered memory care tools for Alzheimer’s and dementia patients.
The AgeTech market, valued at approximately $1 trillion globally, includes everything from AI-driven caregiver bots to app-based medication management. Large cap tech companies — such as Apple, Amazon, and Alphabet — have made strategic moves into this area, from glucose monitoring through Apple Watch to virtual doctor visits added in Alexa devices.
Informed investors watching aging population stocks should look not just at healthcare equipment makers, but also software firms and medical data integrators leading the way.
Real Estate Impact: What Aging Means for Las Vegas
Las Vegas, once known mainly for its entertainment style, is gaining a second identity: a top retirement destination. Good tax structures (no state income tax), low cost of living, sunny weather, and quality senior services are major attractions.
Real estate agents are reporting increased demand in 55+ communities, with new projects reaching record highs — and often selling out within days.
Las Vegas Neighborhoods Drawing Retirees:
- Summerlin: High terrain, master-planned design, and closeness to parks and healthcare systems.
- Henderson: Family-friendly and increasingly favored for its walkable 55+ projects.
Real estate demand is causing price increases and competitive interest in rental properties aimed at long-term retirees. Homes that are single-story, gated, and near wellness or recreation centers are especially valuable.
55+ Living and Investment Property Strategy
For real estate investors, serving the needs of older adults is not just ethical — it is financially beneficial. Demand is high for independent living homes that offer both community and independence.
Attractive Features for Senior Property Investment:
- Wheelchair-accessible designs and walk-in bathtubs.
- Guard-gated surroundings with full-time security.
- Weekly community social gatherings, healthcare shuttles, and concierge medical access.
Even among retirees downsizing from primary residences, many prefer to rent in lifestyle-focused areas. Investors can either buy turnkey properties or participate in age-restricted REITs that manage senior housing portfolios.
Building a Retirement-Friendly Portfolio
When building a portfolio aligned with the silver economy, consider mixing asset types that directly profit from demographic investing — and provide different risk exposure.
Recommended Allocation Buckets:
- Equities: Dividend-paying healthcare and tech stocks focused on older adults.
- REITs: Senior living centers, medical offices, retirement villages.
- Bonds: Municipal or healthcare fixed income offerings for income stability.
- Alternatives: Private equity or venture funds specializing in AgeTech or biotech innovation.
Reducing single-sector risk while profiting from strong growth in aging demand means being careful, diversified, and forward-thinking.
Real Estate vs. Stock Market: Where Should Aging Investors Focus?
Both stock markets and real estate offer promising paths for retirement investing — especially when considered through a demographic view.
Considerations for Aging Investors:
- Real estate offers passive income and appreciation — particularly in aging-in-place hotspots like Las Vegas.
- Stocks offer liquidity, dividend possibility, and tech growth (especially in AgeTech).
- Hybrid investors are using home equity to buy diversified silver economy ETFs and dividend portfolios.
If managing a rental property sounds unpleasant for retirement, REITs or senior housing mutual funds might offer structure without the daily upkeep.
Risks and Long-Term Considerations
Like any investment approach, demographic investing tied to aging populations carries unique risks:
- Medicare Policy Volatility: Changes in U.S. entitlement programs like Medicare or Medicaid can greatly affect healthcare company margins.
- Tech Displacement: Not all elder-care technologies gain use. The digital divide still exists for some age groups.
- Geopolitics & Global Aging Balance: Not all countries age at the same rate. Investors must watch global policy differences and aging curve timelines.
Long-term success requires focusing on companies and sectors most resistant to changes in regulation and patient expectations, and those that prioritize openness and accessibility.
The Retirement Wave is Here — Are You Positioned?
The silver economy is not a temporary situation. With over a billion people soon to reach retirement age, demand for specialized financial, medical, housing, and tech solutions will become a permanent feature of world markets. Whether you are improving a personal portfolio or searching for exposure through real estate or equities, aligning with demographic investing principles is important.
Want to find out how changing retirement demographics are reshaping real estate in Las Vegas? Contact Steve Hawks, a top regional expert for communities focused on older adults, and find unique investment opportunities in this growing area.
Citations
- United Nations. (2020). World Population Ageing 2020 Highlights. https://www.un.org/development/desa/pd/news/world-population-ageing-2020-highlights
- Franck, T. (2024, January 24). Wall Street is embracing a $1 trillion opportunity created by aging consumers. CNBC. https://www.cnbc.com/2024/01/24/wall-street-embraces-the-silver-economy.html