By Hannah Perez
Most U.S. teens get their financial information from social media platforms, according to survey. Overall, they weren’t very enthusiastic about investing.
A recent study suggests that a large percentage of teens in the U.S. aren’t keen on investing, no matter whether
or traditional stocks.
Researchers from Junior Achievement and RSM conducted a survey in mid-June that sought to probe the perceptions of young Americans around the stock market, cryptocurrencies and other investments. In particular, they wanted to know teens’ feelings about “stock memes” in the wake of the events surrounding GameStop
With a staggering 37% admitting they wouldn’t choose to invest at all, the study suggests that, overall, a large group of Generation Z doesn’t seem to have many financial aspirations. According to a statement, the results came from a survey involving more than 1,000 13-17 year olds.
25% would buy Bitcoin, hypothetically
The study, which sought to learn about investment notions among U.S. teens, found that 94% of them admit to knowing only “some” or “nothing at all” about the stock market. In fact, only half (51%) agreed that the stock market was “somewhat good
” for ordinary people.
Still, 43% said they would invest in the stock market if they were given money to invest. The second highest response was for cryptocurrencies: 25% of teens admitted they would buy digital coins if given the capital. The number of teens who would invest in crypto slightly outnumbered those who would hypothetically choose real estate.
However, the percentage of kids who would prefer not to invest at all still outnumbered those who would opt to buy crypto and those who would invest in real estate, individually.
Among the research’s notable findings, social media was found to be the primary source of financial information for teens, with 43% of respondents choosing this option. They also turn to their parents (35%), websites (30%) and school (29%) for stock market information, according to the report.
Meanwhile, a group of respondents (39%) who had followed the GameStop story earlier in the year agreed that stocks are a “great way to make money fast,” according to the report.
e“. Half of them (20%) said the stock market is too risky and a higher percentage (40%) conceive buying stocks as a good long-term investment.
More and more respondents are choosing cryptocurrencies
The researchers noted that recent survey results show that recent events with “stock memes” like GameStop have given teens mixed feelings about the stock market. Jack E. Kosakowski , president and CEO of Junior Achievement USA, commented along these lines:
The recent ‘meme stock’ phenomenon could have an adverse impact on teens’ perceptions of what it means to invest in the stock market. Given that the stock market plays an important role in helping countless Americans achieve a secure retirement, it is important that we help demystify it for the next generation.
Junior Achievement works to provide young people with knowledge about investing and financial planning. It does this by seeking to change their impression of the stock market by promoting educational programs that include simulated stock market experiences and a curriculum designed to clarify the basics of investing.
In recent years, various studies have shown that the younger population has lost confidence in traditional investments, and a growing group of people are turning to cryptocurrencies. Other surveys have also found that, in general, people tend to look for financial information on social networks and that a growing percentage is opting for speculative investments in order to generate short-term gains.
Version of Hannah Estefania Perez / DiarioBitcoin
Image by Unsplash