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As developed nations age, birth rates drop, and populations decline, investing strategies need to change.
Money Morning Chief Investment Strategist Keith Fitz-Gerald says no country illustrates this trend better than Japan.
"More than half of Japan's existing municipalities will disappear by 2048," Fitz-Gerald said on the FOX Business program "Varney & Co." today (Monday). "The population is going to drop by 30 million people. That says to me the investing environment over there is not what everybody over here thinks it is. And there ought to be some changes in investors' portfolios as a result."
Fitz-Gerald, a seasoned market analyst with 33 years of experience, added that investors also need to be wary of central bank meddling. Countries like Japan, he said, falsely believe weakening their currency will solve the problem. Instead, it just creates new problems.
But Fitz-Gerald does not advise pulling out of any country that has an aging population.
Instead, he has an investing strategy that will prevail despite these risks. Find out this successful tactic in the video below:
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Meanwhile, in Europe: The Eurozone is just starting to face the same ugly demographic issues as Japan. And European Central Bank head Mario Draghi has the answer: a huge stimulus package! It won't work. But Fitz-Gerald does know of a stock that will benefit. Here's how Draghi's pain can be your gain...