Lina Ko October 27th, 2008
According to The Leader-Post, a few years ago, when the cruise industry was looking at endless growth and markets in Europe, South America, and the South Pacific were on the verge of coming into their own, ship builders were looking at full-order books as cruise lines bulked up to meet demand.
Now with the economy in turmoil, about 34,000 new berths are to be launched from now until the end of 2009 on 16 new ships ranging in size from 189 to 5,400 passengers.
From Celebrity Cruises to Royal Caribbean to Princess to the Italian line MSC, the new ships promised more space and a lot more activities for baby boomers to do.
In fact, while professional designers were responsible for the overall design of the new Celebrity Solstice, five boomer-aged women were brought in to make suggestions about what they would like to see on board.
The cabins are 15 percent larger than the ones on their latest ships and, with curved walls, they feel bigger. Washrooms are pleasantly spacious. Half an acre of real grass will appear on the ship for sports such as lawn bowling, bocce ball and putting. Right next to the ‘park’, there is a glass-blowing where artisans will show off their work. The spa is an integral part of the ship and with adjacent spa cabins, the aim is to create a spa-resort feeling.
As a luxury cruise fan myself, I’m looking forward to my South American cruise this coming December and a Christmas vacation in Buenos Aires, Argentina. Although the Silver Cloud is not a new ship, I look forward to the luxury facilities on board the exclusive voyage for only about 300 passengers, many of whom are fellow boomers!
Lina Ko October 14th, 2008
According to The National Post, a recent McKinsey Consumer Retirement Survey discovered that 69 percent of consumers said their advisors had not spoken to them about their goals for retirement. Only one in four had received an overall retirement plan or a plan for how they would spend their money during their golden years.
The transition from wealth accumulation to drawing income is also a tricky one for boomers. Fickle near-retirees sometimes switch financial advisors because the incumbent do not address their concerns about spending their money, not just accumulating it. In addition to planning when they can afford to retire, boomers want to be reassured they could afford their annual golf dues, go to Florida every winter, buy a new car every five years and eat out in restaurants twice or thrice a week.
The investing behaviour of men and women is also quite different. Women are long-term investors while men are all about the desire to beat the market in the short term. Sixty-one percent of men admitted to buying a bad stock after having performed no research whatsoever. Women make better investors because they look further ahead.
Amidst the enormous market turbulence of recent weeks, many leading-edge boomers may have to delay their retirement plans. However, long-term investors who are not speculating should have no reason to panic.
Lina Ko October 6th, 2008
According to The National Post, there is ample supply of luxury condos and homes that baby boomers will be able to live in and enjoy for the rest of their lives.
Typically, boomers are downsizing, but they still want a den, master bedroom, elegant bathroom, terrace and so on. Some of them also want a downtown location and amenities that let them re-live their youth, remain optimistic about the future and enjoy an active lifestyle. So luxury condos often include late-night room service, spa and fitness centres, party rooms and gourmet restaurants.
But some boomers are not downsizing at all. If grown children or grandchildren need to sleep overnight, downsizing could pose a problem. So a luxury condo with a large dining room to accommodate dinners with adult children or grandchildren might be viewed as a necessity for many boomers. For those who like to entertain, a large kitchen, living room or even a bar may be more important.
In Canada, there are just over 14 million boomers. This group accounts for almost 45 percent of the population and has more than 75 percent of our wealth. In as little as 10 years, according to Statistics Canada, this group could actually outnumber children under 15. The current life expectancy of Canadians is 82.5 years for women and 77.7 years for men.
Many industry experts are saying this is perhaps the most powerful driving force in the luxury homebuilding market today. This rivals even first-time buyers, foreign investors and affluent immigrants, who remain a powerful factor. It will be interesting to see whether the latest downturn of the financial markets around the world will have any impact on the real estate market, particularly on luxury condos.