A 2021 Statista survey shows that 34% of baby boomers see a "future usage opportunity" in alternative investment, compared to 60% of Millennials. In other words, Millennials are far more interested in non-traditional assets like cryptocurrency, venture capital, and private equity.
This shouldn't come as a surprise. Millennials have grown up in a time of increased economic uncertainty, and they're looking for ways to diversify their portfolios and protect their wealth. Older generations are also more open to new ideas and technologies.
Gen Z is even more enthusiastic about alternative investments, and they're turning to truly unique options like high-ticket luxury and streetwear pieces, fine wine, whisky, art, and cryptocurrency. Inflation is the biggest financial concern for these investors, and they're willing to take risks to preserve their purchasing power.
What does this all mean for the future of wealth? Millennials and Gen Z lead the charge in exploring new and innovative investment opportunities. And as they continue to grow their wealth, they're likely to spur even more growth in the alternative investment space.
A New Era of HNWIs and UHWNIs
Despite the countless articles portraying millennials as broke, screwed, or “the new lost generation," it turns out that they're quite good at making money.
Sure, they're saddled with student debt and not buying homes at the same rate as previous generations. But they're also more entrepreneurial and earning higher salaries than ever before. As a Bloomberg article notes, Millennials are now better off financially than previous generations, whether looking at net worth, income, or financial assets.
Gen Z is on track to surpass even that level of success. They're digital natives who are comfortable with technology and are unafraid of taking risks. This combination already gives them an edge in the business world and will only become more pronounced as they enter their peak earning years.
CNBC reports that Gen Z incomes are on track to beat Millennials by 2031. And as they grow their wealth, they will have an increasingly significant impact on the economy and the financial markets.
We're already seeing this with the rise of Gen Z millionaires. These young people have accumulated significant wealth, often through impressive entrepreneurial endeavors. In the UK, for instance, the number of Gen Z and Millennial millionaires has doubled in just one year. This rapidly growing class of HNWIs and UHNWIs is hungry for alternative investments.
New Investing Solutions Are Needed
Bygone days, a simple portfolio of stocks and bonds would suffice to preserve one's purchasing power and grow their wealth. Millennials and Gen Z investors are leading the charge in alternative investments in today's economy.
Gridline is at the forefront of this movement, offering unique access to high-value alternative investments. Our platform is designed for investors and RIAs who want to explore new investing solutions. Our team of experts vets our platform's options to ensure they match our investors' interests and goals.
If you're looking for ways to grow your wealth in today's economy, Gridline is the perfect place to start. We offer various options that can help you diversify your portfolio and protect your purchasing power while allowing you to participate in the private markets.
Our products are designed for the average individual, with a minimum investment of just $100,000. And because we're focused on long-term growth, our portfolios are more heavily invested in private markets than traditional index products. This means that you'll have less liquidity in your investment, but you'll also be less exposed to market volatility.
In short, Gridline is the perfect place to grow your wealth in today's economy. Contact us today to learn more about our products and how we can help you achieve your financial goals.