The stock market has long been the go-to choice for people looking to invest their money. But that could be about to change as a younger generation enters the scene.
According to a recent survey from Bank of America, individuals aged 21 to 42 with at least $3 million in assets only have 25% of their portfolio invested in stocks. For wealthy investors over age 43, the allocation to equities is much higher at 55%.
This year’s bear market may have something to do with these millennials’ decisions.
“We’ve had a very strong run in the stock market over the last decade and are now living through volatile times. That’s on the front of people’s minds,” says Jeff Busconi, chief operating officer at Bank of America Private Bank, in an interview.
Сагынба
Despite the stock market’s recent bounce, the benchmark S&P 500 Index is still down nearly 20% year to date.
Busconi adds that the younger generation of investors increasingly believes that “a traditional portfolio of stock and bonds is not going to deliver above-average returns over time.”
So what assets do rich millennials favor?
Cryptocurrency
Бир жолу ниш актив катары эсептелген cryptocurrency азыр негизги агымга кирди. Ушул жылдын башында CFA институтунун изилдөөсү көрсөткөндөй, мамлекеттик жана өкмөттүн пенсиялык пландарынын 94% криптовалюталарга жумшалган.
Of course, many investors learned about cryptocurrencies’ volatility the hard way through this year’s massive pullback. But some wealthy millennials still believe in the asset class.
In the Bank of America survey, 29% of younger people said crypto offers great opportunities for growth, while only 7% of the older group agreed.
Unsurprisingly, younger folks also have a lot more exposure to crypto (average allocation of 15% of their portfolio) than the older generation (average allocation of 2% of their portfolio).
It’s easy to get in on the action — there are plenty of platforms that allow you to invest in crypto. Just be aware of fees: many exchanges charge up to 4% in commission fees just to buy and sell crypto. But кээ бир инвестициялык колдонмолор заряд 0%.
Кыймылсыз мүлк
Кыймылсыз мүлк акыркы убакта популярдуу активдер классы болуп калды - балким, бул инфляцияга каршы белгилүү хедж болгондуктан.
Чийки заттын жана жумушчу күчтүн баасы көтөрүлгөн сайын, жаңы объекттерди куруу кымбаттайт. Ал эми бул кыймылсыз мүлктүн баасын жогорулатат.
Жакшы тандалган касиеттери баанын жогорулоосун гана камсыз кыла албайт. Инвесторлор ошондой эле ижаралык кирешенин туруктуу агымын ала алышат.
It’s no surprise that high net worth individuals — regardless of their age — sees opportunity in this asset.
In the Bank of America survey, 28% of younger people said real estate presents great growth potential. 31% of the older group held the same opinion.
Бирок кыймылсыз мүлккө инвестиция салуу үчүн үй ээси болуунун кажети жок. Кыймылсыз мүлк инвестициялык тресттери (REITs), ошондой эле көп краудфандинг платформалары бул сизге кыймылсыз мүлк магнаты болууга жардам берет.
жеке капитал
Private equity refers to investments in companies that are not publicly traded on a stock exchange.
A private equity fund takes money from the fund’s investors, invests the money into the companies — usually by taking controlling stakes — and works with the companies’ management teams to make their businesses more valuable. The goal is to sell their portfolio companies later — hopefully for a decent profit.
While private equity funds are generally not open to small investors, they’ve been gaining popularity among the wealthy.
In 2021, private equity buyouts doubled from 2020 to $1.1 trillion according to Bain & Company.
It has also received the attention of high-net-worth millennials.
The Bank of America survey suggested that 25% of individuals aged 21 to 42 with at least $3 million in assets identified private equity as one of the greatest growth opportunities, compared to 15% for those who are older.
Кийинки эмнени окуу керек
Бул макала маалымат гана берет жана кеңеш катары каралбашы керек. Ал эч кандай кепилдиксиз берилет.
Source: https://finance.yahoo.com/news/rich-young-americans-lost-confidence-110000070.html