"New Generation Investment Trends: Gen Z prefers Crypto to traditional stocks"
A new generation of investors, known as Gen Z, is more likely to choose cryptocurrencies over traditional stocks, creating a stark difference from their predecessors, according to a survey conducted by Policygenius. The survey shows that about 20% of Gen Z own cryptocurrencies, while only 18% hold stocks. In comparison, 33% of baby boomers own stocks, but only 5% are invested in cryptocurrencies.
This trend reflects the different approaches to financial planning between younger generations and older generations. They are more willing to take risks and try new types of investments, and cryptocurrency is an area that is getting a lot of attention. However, this shift may also be affected by external factors, such as a growing housing shortage.
The survey also found that younger generations are no less likely to own cryptocurrency than to own real estate. While 13% of Gen Z and 24% of Millennials still own real estate, 45% of Baby Boomers also own property. This reflects the reality that buying a home is becoming increasingly difficult, especially with high interest rates and low inventory.
Another survey conducted by the Financial Industry Regulatory Authority Foundation and CFA Institute came to similar conclusions, with about 56% of Gen Z owning some investments, with about 55% choosing cryptocurrencies and 41% choosing individual stocks. . This shows that cryptocurrencies have become an important part of the new generation of investment portfolios.
💡Personal opinion: The preferences of the new generation of investors are changing, and they are more willing to accept emerging financial tools and technologies to cope with the changing economic environment. Cryptocurrency is an emerging asset class that has attracted the attention of young people. Such as NFT, DeFi ecosystem and Staking. These emerging financial instruments and technologies provide investors with more choices, but they also need to be treated with caution because market volatility and risks cannot be ignored.
