Peer2Peer Finance News
The UK's first peer-to-peer finance magazine for investors and the industry
  • Home
  • News
    • Personal Finance News
    • Industry News
    • SME News
    • Global News
  • Property
  • IFISA
    • IFISA Guide
  • Video
  • Open Banking
  • Cryptocurrency
  • Features
    • Joint Ventures and Promoted Content
  • Comment & Analysis
  • What is P2P?
  • Partners
  • Events
    • Past Events
  • P2P Power 50
    • Power 50 2020
    • Power 50 2019
    • Power 50 2018
    • Power 50 2017
  • Sign up to our e-newsletters
  • Magazine
  • Directory
  • Jobs
  • My Account
    • Manage Account
    • Change Password
    • Log In
    • Log Out
shutterstock_630353870
September 11 2018

Young investors drawn to cryptocurrencies

Tim Evershed Cryptocurrency, News bitcoin, Rathbone Investment Management, Robert Szechenyi

YOUNGER investors are more likely to be attracted to cryptocurrencies, according to new research.

A survey of UK investors conducted by Rathbone Investment Management found that 37 per cent of under 35-year olds were planning to invest in cryptocurrencies.

By contrast only four per cent of the over-45s were considering this type of investment.

“Lucrative returns made by the early adopters of Bitcoin and other cryptocurrencies have been widely publicised,” said Robert Szechenyi, investment director at Rathbones.

Read more: Bitbond launches flexible working capital product

“These early investors have been followed by others looking to make similar gains.

“Younger investors who perhaps have shorter investment goals have been more susceptible to the ‘Bitcoin craze’, whilst older generations with their mind on retirement savings have mostly stayed clear of what is a high-risk asset class.”

Since the introduction of Bitcoin in 2009, cryptocurrencies have multiplied in number and popularity.

Investors have been attracted to the potential high returns that can be achieved, as well as the anonymity and protection that decentralised online currencies can provide.

Almost a third of high-net-worth investors have invested in cryptocurrencies and of those just over half plan to invest in cryptocurrencies again in the future.

Read more: A new blockchain P2P platform has launched

In addition, the research found that men were more likely to be attracted to cryptocurrencies than women.

“Buying cryptocurrencies can come back to bite you. The bursting of the Bitcoin bubble this year is a clear reminder of just how volatile these investments can be,” said Szechenyi.

“While it can be interesting to dabble in alternative asset classes such as cryptocurrencies, and the rewards can be there if you are lucky with timing, we would not advise them to be a core part of an investment portfolio, which should be diversified in order to spread risk.

“The due diligence given to cryptocurrencies is nowhere near as rigorous as it is to more traditional asset classes such as equities and the risk is correspondingly much greater.”

Read more: New blockchain P2P platform to offer loans in an hour

Augmentum’s fintech fund puts £2.5m into Unmortgage UK and Israel agree to cooperate on fintech and cyber security

Related Posts

Young african american shopkeeper woman wearing medical mask working at clothing store

Industry News, News, Top 3

Fintech sector showed resilience during Covid-19

nikhil-rathi-high-res

Industry News, News, Top 3

Nikhil Rathi unveils new hires amid FCA restructure

Auditor with magnifying glass checking financial report.

Industry News, News, Top 3

Kalifa review to call for independent fintech body

Popular posts:

  • Funding Circle strikes another CBILS securitisation
  • RateSetter to stop investment withdrawals from 26 March
  • Metro Bank plans to offer RateSetter lending through…
  • FCA puts the brakes on Buy2Let Cars
  • RateSetter confident of growing Metro Bank’s…
  • Octopus Choice has permanently closed
Back To Top
  • Home
  • Contact
  • About
  • Team
  • Advertising
  • Subscribe
  • Privacy
  • T&Cs
  • Disclaimer

Follow Us on Social Media

© Peer2Peer Finance News 2020
• Additional design by