New Generation of Young Investors, New Ways of Investing

Young investors that are digitally savvy are upending traditional investment industry business models. The gateway for this new generation of investors is cryptoassets. These investors source information about investments from financial influencers on social media. To attract these new entrants, investment firms will need to innovate and embrace new tools, technologies, and data sources. CFA Institute Research and Policy Center has launched this research series—New Generation of Young Investors, New Ways of Investing—to help professionals, firms, and policymakers understand and react to forces of change that are driven by these young investors.

Our report on Gen Z's attitudes and behaviors around investing complements our analysis of investment gamification and sets the stage for future research on new asset classes, new information sources, and new analytical methods. Our Future State of the Investment Industry report provides a macro view of the future of the industry, including the profile of the successful investment professionals and firms in the next 5-10 years.

Our latest report, “The Finfluencer Appeal: Investing in the Age of Social Media” examines how this new generation of investors uses content from financial influencers on social media platforms, such as YouTube, TikTok, and Instagram, to gather information and make investment decisions. It examines the finfluencer model and how young investors use such content to make investment decisions. It illuminates both the challenges finfluencers pose to the traditional advice industry and the opportunities they unlock for attracting and retaining assets from this emerging investor base.