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America’s healthcare system is working out how to function with fewer immigrants and an aging population

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When Dr Brian Moreas opened his practice in Boca Raton, Florida, he was following in the footsteps of his physician parents and grandfather, a Bombay-based general practitioner. Dr Moreas hoped to do what the vast majority of those in healthcare set out to: Help patients.

But in 2025 he spends his days “putting out fires.”

Instead of meeting and treating as many patients as he can, his hours are often clogged with referrals to geriatric specialists which are increasingly hard to find. So too are psychiatrists, with Dr Moreas often providing the support himself, as well as endocrinologists who have expertise in hormonal imbalances such as diabetes and osteoporosis, as well as rheumatologists who specialize in autoimmune conditions like arthritis.

Then, two or three times a week, he will have appointments with recurring patients: Those he discharged on the basis of ongoing care at home, who then have no choice but to return to the outpatient center when care workers prove too hard to find, adding hours onto his packed schedule.

With the workload and friction increasing, it’s perhaps no surprise to the nephrologist—the study of kidneys and diseases related to blood pressure—that his peers are retiring earlier, inadvertently increasing the burden still on those still in the field.

Much of Dr Moreas’s difficulty stems from a shrinking pool of skilled labor in the healthcare workforce. While his practice hasn’t struggled to recruit talent, referrals for specialist care which he cannot provide are getting tougher. And the problem is likely to get worse: Much of the expertise he and his patients need is in geriatric care, a sector which few medical students want to pursue.

And the problem is potentially exacerbated by government policy which may deter the imported talent needed to keep the healthcare industry afloat. In the 2024 election, American voters made it clear that immigration was one of the major issues they wanted their future president to address. President Trump has delivered a raft of actions since: Adding a $100,000 price tag to highly-skilled H-1B visas, proposing a 15% cap on international students at American universities, and enhancing vetting and screening of green card applicants “to the maximum degree possible.”

The policies are having their desired effects: Pew Research found in August that at the beginning of 2025, 53.3 million immigrants lived in the United States, the largest number ever recorded. By June, America’s foreign-born population had declined by more than a million people—a fall the like of which hasn’t been seen since the 1960s. Likewise, according to preliminary data released by the National Travel and Tourism Office, the number of student visas declined in August by 19% compared to a year prior. June and July also fell—but August is of particular note because it is usually the month that sees a peak.

Trump’s immigration plans have already presented some unforeseen economic outcomes: Experts believe America’s unemployment rate has remained relatively stable because job losses are being offset by a shrinking labor force as individuals leave the U.S. The economy has withstood weak role creation precisely because the pool of applicants is shrinking.

On the other hand, a working paper from American Enterprise Institute (AEI), a conservative economic policy center, found the Trump administration’s immigration policy—even before the changes to the H-1B visa were announced—will likely result in negative net migration in 2025, shrinking U.S. GDP by between 0.3% and 0.4% as a result.

While the Oval Office has made clear its intention to grow the American economy in other ways, the issue remains that the risks of lower immigration aren’t just about what foreign-born individuals are contributing, but also how they’re doing it.

Alarms have already been raised on Wall Street and in Silicon Valley about the impact of skilled, motivated individuals being unable to come to the U.S. But the problem is also present in the healthcare workforce: Studies show immigrant staff have not only increased as a percentage of its shrinking skills supply, but are also more likely to work in the roles which are in higher demand, despite, on average, being lower paid. Additionally, they’re more likely to work in regions that find it harder to attract talent.

The healthcare sector also has an additional pressure to wrangle: How to care for an aging population when the domestic workforce isn’t doing it themselves.

A gap in geriatric care

According to the Population Review Bureau, the number of Americans aged 65 and older is projected to increase from 58 million in 2022 to 82 million by 2050—up 42%. There is, however, a relatively small pool of people ready to care for them.

“There’s a huge gap in geriatric care,” Dr Moreas tells Fortune. “I don’t talk to any medical students who say, ‘Oh, I want to go into geriatrics when I get out.’ Everybody says, ‘I want to go to dermatology or orthopedics.’”

“Our aging population is definitely increasing at a faster rate than our ability to take care of them. I don’t see that changing anytime in the near future. That’s one of the things that a lot of the international healthcare workers were able to fill: If you go to a nursing home or you go to a hospital on the night shift, it’s almost all international aides and nurses.”

He added: “When you’re talking about some of the other areas of medicine that are maybe not so lucrative like home health aides and and nurses and nursing aides, I have noticed that there is definitely a need for international people to be able to fill those positions because Americans just aren’t doing it, they’re not going into that.”

A study from the Baker Institute found that between 2007 and 2021 the share of the population in the U.S. that is foreign-born grew one percentage point, from 12.62% to 13.65%, and the share of foreign-born healthcare workers increased from 14.22% to 16.52%. Likewise, while the number of total workers in U.S. nursing care facilities declined pre-pandemic to COVID (down 1.8 million to 1.5 million), the portion of foreign-born workers in the sector rose, up to 18.21% in 2021 compared to 16.43% a decade prior.

The White House countered young, domestic talent can be called upon to fill holes in America’s health labor force. Spokeswoman Abigail Jackson told Fortune: “Over one in ten young adults in America are neither employed, in higher education, nor pursuing some sort of vocational training. There is no shortage of American minds and hands to grow our labor force, and President Trump’s agenda to create jobs for American workers represents this Administration’s commitment to capitalizing on that untapped potential while delivering on our mandate to enforce our immigration laws. 

“President Trump will continue growing our economy, creating opportunity for American workers, and ensuring all sectors have the workforce they need to be successful.”

The cost of motivating talent into the medical workforce could pile further pressure on an already stretched sector, warned Dr Moreas, and warned the U.S. may already be losing out on foreign-born talent because of changing goalposts on immigration policy. While he hasn’t encountered any individuals who have left the U.S. or are being blocked from coming due to changing policy, Dr Moreas said he does see more “fear” and uncertainty.

“I think it’s going to be harder for people to trust the fact that they can come to this country and be able to stay and work here,” Dr Moreas added. “Other countries are actually economically starting to do better and it may be more lucrative. Once upon a time it was a very good lifestyle to come to the United States, but now there are so many other countries that people can choose from to go to, so I have a feeling that our workforce is going to start decreasing in the areas that Americans aren’t going to want to go into.”

Question of confidence

The story is similar for New York urologist Dr David Shusterman, a refugee who left the Soviet Union for the U.S. in the 1980s.

Dr Shusterman’s concern is one of basic math: How to marry that rising reliance on foreign-born skilled labor with policies which are reducing net immigration. “Our medical schools are filled with foreign-born people, that’s really one of the issues. There’s a lot of positions that need filling right now, it’s hard to find a urologist, hard to find other specialties … we’ve been resorting to physician extenders—I have a lot of physician extenders in the office, but they’re also in short supply,” he tells Fortune. Physician extenders is an umbrella term for healthcare professionals who assist doctors to provide patient care, for example nurse practitioners or physician assistants.

Immigration policy at present means “a lot of good people, because the uncertainty, choose not to stay, or are more worried about staying” said Dr Shusterman. What’s needed is clarity, he said: “I know that at least 5% to 10% of the population of the urology programs are on visas, and those are people that if they want to stay here, they should be highly motivated to stay and not given the runaround treatment because these are people who are in super high demand. They would love to stay, mainly because of the reimbursement—they make more here than other places—and the reason they make more is because they’re needed.”

The expert advocated for the government—be it Trump 2.0 or thereafter—to lay out some clearer benchmarks on the skilled labor the U.S. warned to attract. While he believes the Trump administration is expediting some visas for skilled talent, he added: “My suggestion to the immigration department is to be much clearer about [saying] ‘This is what we need, if you study in these fields you have a clearer pathway. It’s something that is needed and in demand right now. And I stress that, that this is a highly productive group of individuals that is obviously going to work and make the country better because they have skills that are marketable.

“It would help if even employers were able to advertise like: We have these qualified positions that the government will approve for you if you apply for this position,” he added.

Four-year timeline

Trump’s policy action with regard to illegal immigration is often the first thing that comes to mind when the subject is raised. According to U.S. Immigration and Customs Enforcement (ICE) some 67,000 individuals have been detained in the 2025 fiscal year at the time of writing, and more than 71,000 people have been removed. That being said, the rate of detentions and removals for the first half of this fiscal year would still put the Trump 2.0 administration behind the rates ICE reported last year, before he was elected. So while the focus of the Trump administration on immigration and deportation may be sharper, the policy itself is no new thing. Indeed, this policy could change if voters’ views shift on the matter—and an aging population may prompt that change.

Based in Connecticut, reproductive endocrinologist Dr Shaun Williams is yet to see his practice, Illume Fertility, impacted by shifting policy. While demand for his specialty is increasing as women are continuing to choose to have children later in their lives, Dr Williams believes the industry is competitive enough to continue attracting and retaining talent.

Even looking at the healthcare industry more widely, he’s relatively unconcerned: “I don’t think there are any changes that happen over a four-year period that will cause any long-term effects to the healthcare industry here in the United States. It will work itself out. There will likely be exceptions for different things—if it’s difficult to get certain visas in certain areas—[but] none of these changes are permanent.”

That being said, Dr Williams is conscious that he is operating in one of the wealthier, better-connected parts of the country, and research shows that in less affluent, more rural parts of the country those four years may prove a long wait. According to national policy think tank, the Center for Healthcare Quality and Payment Reform, only 42% of rural hospitals in the U.S. offer labor delivery services, with more than 100 labor and delivery units closing in the past five years.

Staffing costs and availability are chief among the reasons, the organization adds, both because skilled individuals can’t be sourced in rural areas and because the traditional long hours and on-call schedules poses further hurdles for recruitment. “Rural maternity care is in a state of crisis, and more women and babies in rural communities will die unnecessarily until the crisis is resolved,” the center adds.



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Leaders in Congress outperform rank-and-file lawmakers on stock trades by up to 47% a year

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Stocks held by members of Congress have been beating the S&P 500 lately, but there’s a subset of lawmakers who crush their peers: leadership.

According to a recent working paper for the National Bureau of Economic Research, congressional leaders outperform back benchers by up to 47% a year.

Shang-Jin Wei from Columbia University and Columbia Business School along with Yifan Zhou from Xi’an Jiaotong-Liverpool University looked at lawmakers who ascended to leadership posts, such as Speaker of the House as well as House and Senate floor leaders, whips, and conference/caucus chairs.

Between 1995 and 2021, there were 20 such leaders who made stock trades before and after rising to their posts. Wei and Zhou observed that lawmakers underperformed benchmarks before becoming leaders, then everything suddenly changed.

“Importantly, whilst we observe a huge improvement in leaders’ trading performance as they ascend to leadership roles, the matched ‘regular’ members’ stock trading performance does not improve much,” they wrote.

Leadership’s stock market edge stems in part from their ability to set the regulatory or legislation agenda, such as deciding if and when a particular bill will be put to a vote. Setting the agenda also gives leaders advanced knowledge of when certain actions will take place.

In fact, Wei and Zhou found that leaders demonstrate much better returns on stock trades that are made when their party controls their chamber.

In addition, being a leader also increases access to non-public information. The researchers said that while companies are reluctant to share such insider knowledge, they may prioritize revealing it to leaders over rank-and-file lawmakers.

Leaders earn higher returns on companies that contribute to their campaigns or are headquartered in their states, which Wei and Zhou said could be attributable to “privileged access to firm-specific information.”

The upper echelon also influences how other members of Congress vote, and the paper found that a leader’s party is much more likely to vote for bills that help firms whose stocks the leader held, or vote against bills that harmed them. And stocks owned by leadership tend to see increases in federal contract awards, especially sole-source contracts, over the following one to two years.

“These results suggest that congressional leaders may not only trade on privileged knowledge, but also shape policy outcomes to enrich themselves,” Wei and Zhou wrote.

Stock trades by congressional leaders are even predictive, forecasting higher occurrences of positive or negative corporate news over the following year, they added. In particular, stock sales predict the number of hearings and regulatory actions over the coming year, though purchases don’t.

Investors have long suspected that Washington has a special advantage on Wall Street. That’s given rise to more ETFs with political themes, including funds that track portfolios belonging to Democrats and Republicans in Congress.

And Paul Pelosi, former House Speaker Nancy Pelosi’s husband, even has a cult following among some investors who mimic his stock moves.

Congress has tried to crack down on members’ stock holdings. The STOCK Act of 2012 requires more timely disclosures, but some lawmakers want to ban trading completely.

A bipartisan group of House members is pushing legislation that would prohibit members of Congress, their spouses, dependent children, and trustees from trading individual stocks, commodities, or futures.

And this past week, a discharge petition was put forth that would force a vote in the House if it gets enough signatures.

“If leadership wants to put forward a bill that would actually do that and end the corruption, we’re all for it,” said Rep. Anna Paulina Luna, R-Fla., on social media on Tuesday. “But we’re tired of the partisan games. This is the most bipartisan bipartisan thing in U.S. history, and it’s time that the House of Representatives listens to the American people.”



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Macron warns EU may hit China with tariffs over trade surplus

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French President Emmanuel Macron warned that the European Union may be forced to take “strong measures” against China, including potential tariffs, if Beijing fails to address its widening trade imbalance with the bloc.

“I’m trying to explain to the Chinese that their trade surplus isn’t sustainable because they’re killing their own clients, notably by importing hardly anything from us any more,” Macron told Les Echos newspaper in an interview published on Sunday.

“If they don’t react, in the coming months we Europeans will be obliged to take strong measures and decouple, like the US, like for example tariffs on Chinese products,” he said, adding that he had discussed the matter with European Commission President Ursula von der Leyen.

Macron has just returned from a three-day state visit in China, where he pressed for more investment as Paris seeks to recalibrate its relationship with the world’s second-largest economy. France’s goods trade deficit with China reached around €47 billion ($54.7 billion) last year, according to the French Treasury. Meanwhile, China’s goods trade surplus with the EU swelled to almost $143 billion in the first half of 2025, a record for any six-month period, according to data released by China earlier this year.

Tensions between France and China escalated last year after Paris backed the EU’s decision to impose tariffs on Chinese electric vehicles. Beijing retaliated by imposing minimum price requirements on French cognac, sparking fears among pork and dairy producers that they could be targeted next.

‘Life or Death’

Macron said the US approach to China was “inappropriate” and had worsened Europe’s position by diverting Chinese goods toward the EU market.

“Today, we’re stuck between the two, and it’s a question of life or death for European industry,” Macron said, while noting that Germany — Europe’s biggest economy — doesn’t entirely share France’s stance.

In addition to Europe needing to become more competitive, the European Central Bank too has a role to play in strengthening the EU’s single market, Macron said, arguing that monetary policy should take growth and jobs into account, not just inflation, he said.

He also said the ECB’s decision to continue selling the government bonds it holds risks pushing up long-term interest rates and weighing on economic activity.

“Europe must — and wants to — remain a zone of monetary stability and credible investment,” Macron said.



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What bubble? Asset managers in risk-on mode stick with stocks

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There’s a time when investments run their course and the prudent move is to cash out. For global asset managers who’ve ridden double-digit gains in equities for three straight years, that time is not now.

“Our expectation of solid growth and easier monetary and fiscal policies supports a risk-on tilt in our multi-asset portfolios. We remain overweight stocks and credit,” said Sylvia Sheng, global multi-asset strategist at JPMorgan Asset Management.

“We are playing the powerful trends in place and are bullish through the end of next year,” said David Bianco, Americas chief investment officer at DWS. “For now we are not contrarians.”

“Start the year with sufficient exposure, even over-exposure to equities, predominantly in emerging market equities,” said Nannette Hechler-Fayd’herbe, EMEA chief investment officer at Lombard Odier. “We don’t expect a recession in 2026 to unfold.”

Those assessments came from Bloomberg News interviews with 39 investment managers across the US, Asia and Europe, including at BlackRock Inc., Allianz Global Investors, Goldman Sachs Group Inc. and Franklin Templeton.

More than three-quarters of the allocators were positioning portfolios for a risk-on environment through 2026. The thrust of the bet is that resilient global growth, further developments in artificial intelligence, accommodative monetary policy and fiscal stimulus will deliver outsize returns in all fashion of global equity markets. 

The call is not without risks, including simply its pervasiveness among the respondents, along with their overall high degree of assuredness. The view among the institutional investors also aligns with that of sell-side strategists around the globe. 

Should the bullishness play out as expected, it would deliver a stunning fourth straight year of bumper returns for the MSCI All-Country World Index. That would extend a run that’s added $42 trillion in market capitalization since the end of 2022 — the most value created for equity investors in history. 

That’s not to say the optimism is without merit. The artificial intelligence trade has added trillions in market value to dozens of firms plying the industry, but just three years after ChatGPT broke into the public consciousness, AI remains in the early phase of development.

No Tech Panic

The buy-side managers largely rejected the idea that the technology has blown a bubble in equity markets. While many acknowledged some pockets of froth in unprofitable tech names, 85% of managers said valuations among the Magnificent Seven and other AI heavyweights are not overly inflated. Fundamentals back the trade, they said, which marks the beginning of a new industrial cycle. 

“You can’t call it a bubble when you’re seeing tech companies deliver a massive earnings beat. In fact, earnings from the sector have outstripped all other US stocks,” said Anwiti Bahuguna, global co-chief investment officer at Northern Trust Asset Management.

As such, investors expect the US to remain the engine of the rally. 

“American exceptionalism is far from dead,” said Jose Rasco, chief investment officer at HSBC Americas. “As artificial intelligence continues to spread around the globe, the US will be a key participant.” 

Most investors echoed the sentiment expressed by Helen Jewell, international chief investment officer of fundamental equities at BlackRock, who suggested also searching outside the US for meaningful upside.

“The US is where the high-return high-growth companies are, so we have to be realistic about that. But those are already reflected in valuations, and there are probably more interesting opportunities outside the US,” she said.

International Boom

Profits matter above all else for equity investors, and huge bumps in government spending from Europe to Asia have stoked estimates for strong gains in earnings.

“We have begun to see a meaningful broadening of earnings momentum, both across market capitalizations and across regions, including Japan, Taiwan, and South Korea,” said Wellington Management equity strategist Andrew Heiskell. “Looking into 2026, we see clear potential for a revival of earnings growth in Europe and a wider range of emerging markets.”

India is one of the most compelling opportunities for 2026, according to Goldman Sachs Asset Management’s Alexandra Wilson-Elizondo, global co-head and co-chief investment officer of multi-asset solutions.

“We see real potential for India to become the Korea-like re-rating story of 2026, a market that transitions from tactical allocation to strategic core exposure in global portfolios,” she said. 

Nelson Yu, head of equities at AllianceBernstein, said he sees improvements outside of the US that will mandate allocations. He noted governance reform in Japan, capital discipline in Europe and recovering profitability in some emerging markets.

Small Cap Optimism

At the sector level, the investors are looking for AI proxies, notably among clean energy providers that can help meet the technology’s ravenous demand for power. Smaller stocks are also finding favor.

“The earnings outlook has brightened for small-capitalization stocks, industrials and financials,” said Stephen Dover, chief market strategist and head of Franklin Templeton Institute. “Small-cap stocks and industrials, which are typically more highly leveraged than the rest of the market, will see profitability rise as the Federal Reserve trims interest rates and debt servicing costs fall.”

Over at Santander Asset Management, Francisco Simón sees earnings growth of more than 20% for US small caps after years of underperformance. Reflecting the optimism, the Russell 2000 Index of such equities recently hit a record high.

Meanwhile, the combination of low valuations and strong fundamentals makes health care one of the most compelling contrarian opportunities in a bullish cycle, a preponderance of managers said.  

“Health-care related sectors can surprise to the upside in the US markets,” said Jim Caron, chief investment officer of cross-asset solutions at Morgan Stanley Investment Management. “This is a mid-term election year and policy may at the margin support many companies. Valuations are still attractive and have a lot of catch up to do.”

Virtually every allocator struck at least a note of caution about what lies ahead. The top worry among them was a rekindling of inflation in the US. If the Fed is forced by rising prices to abruptly pause or even end its easing cycle, the potential for turbulence is high.

“A scenario — which is not our base case — whereby US inflation rebounds in 2026 would constitute a double whammy for multi-asset funds as it would penalize both stocks and bonds. In this sense it would be much worse than an economic slowdown,” said Amélie Derambure, senior multi-asset portfolio manager at Amundi SA. 

“The way investors are headed for 2026, they need to have the Fed on their side,” she added.

Trade Caution

Another worry is around President Donald Trump’s capriciousness, particularly when it comes to trade. Any flareup in his trade spats that fuels inflation through heightened tariffs would weigh on risk assets. 

Oil and gas producers remain unloved by the group, though that could change if a major geopolitical event upends supply lines. While such an outcome would bolster those sectors, the overall impact would likely be negative for risk assets, they said.

“Any geopolitical situation that can affect the price of oil is what will have the largest impact on the financial markets. Clearly both the Middle East and the Ukraine/Russia situations can impact oil prices,” said Scott Wren, senior global market strategist at Wells Fargo Investment Institute.

Multiple respondents flagged European autos as a “no-go” area for 2026, citing intense competitive pressure from Chinese carmakers, margin compression and structural challenges in the transition to electric vehicles. 

“Personally I don’t believe for a minute that there will be a rebound in the sector,” said Isabelle de Gavoty at Allianz GI. 

Outside of those worries, most asset managers simply believe that there’s little reason to fret about the upward momentum being interrupted — outside, of course, from the contrarian signal such near-uniform bullishness sends.

“Everyone seems to be risk-on at the moment, and that worries me a bit in the sense that the concentration of positions creates less tolerance for adverse surprises,” said Amundi’s Derambure.  



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