How does Gen Z invest?
Generation Z is very different from older generations when it comes to investing. It may come as no surprise that they’re very interested in crypto assets, with our own research showing that in 2022, 60% of Gen Z held cryptocurrencies. This may be due to their youth and a higher tolerance for risk or may go back to their being a far more digitally native generation than ever before.
They also hold more traditional assets; for example, 60% own stocks, 30% have real estate holdings, and 28% have retirement accounts that include 401(k) or 403(b)s. Also not surprisingly, Gen Z is interested in growth stocks, with 59% owning these, as well as value stocks, with 57% owning value stocks. Dividend stocks are also popular among Gen Z, with 53% owning them. There’s likely a lot of overlap between these groups.
The most popular investment sectors for Generation Z are financial, energy, real estate, and emerging technology. They’re least interested in consumer discretionary, consumer staples, industrials, and communication stocks. These attitudes may change as this generation continues to mature.