Millennials are embracing digital investing
YOUNGER investors are embracing digital ways of saving and investing, research claims.
A poll by law firm Michelmores LLP found affluent millennials – those with more than £25,000 to invest – are moving toward digital, independent investing.
A third said they use online or mobile investment apps, while a quarter consult social trading platforms or e-communities of investors.
A fifth said they have invested in cryptocurrency products such as bitcoin – far-surpassing the national average of three per cent.
This figure rises to 29 per cent for millennials with more than £75,000 worth of investable assets.
The research also shows that 40 per cent of wealthy millennials say they have made their wealth through general returns on investments, whereas 34 per cent have received their wealth from friends, family or acquaintances.
Read more: Millennials more likely to invest in SMEs
“There are many stereotypes attached to millennials – whether it’s that they spend their money frivolously or that they are overly reliant on the Bank of Mum and Dad long into adulthood,” Andrew Oldland, senior partner at Michelmores LLP, said.
“Our research challenges these myths, revealing that a significant portion of this generation who have £25,000 or more have amassed these assets themselves.
“Investment in, or using, digital technologies is a key part of many affluent millennials’ investment strategies.
“This reflects a generational shift in approach where younger investors are comfortable with revolutionary new technologies despite the risks and the unknowns.
“The figure of between 20 and 29 per cent investing in cryptocurrencies is particularly striking given the well-publicised risks.
“This attitude, combined with the underlying distributed ledger technology, is rapidly changing the investment world.”