The behavior of retail investors during the pandemic varies significantly across age groups, according to JPMorgan Chase & Co.
Investors generally are interested in alternative assets but older ones are buying gold while younger ones like Bitcoin, strategists led by Nikolaos Panigirtzoglou said. Millennials are embracing stocks, particularly technology shares, whereas older individuals are selling equities, they said.
“The older cohorts continued to deploy their excess liquidity into bond funds, the buying of which remained strong during both June and July,” the strategists wrote in an Aug. 4 note that analyzes investment flows.
Retail investor demand this year is evident in the 46% jump in stocks globally from March’s lows, the surge in worldwide holdings of gold-backed exchange-traded funds and recent rallies in cryptocurrencies. The presence of amateur traders is also being seen in everything from exuberant options to smoothed trading action, while their stock picks and market timing appeared to fare pretty well compared with institutions.
Gold and Bitcoin ETFs have been experiencing strong inflows over the past five months, as both old and young see the case for an “alternative” currency, the strategists wrote. The Bloomberg Dollar Spot Index has declined about 1.7% over the same period, fueling a debate about whether a prolonged period of dollar weakness is at hand.
A $141M judgment and a federal asset freeze collide over one shrinking pool
The firm's CFO and EVP of Wealth Management Solutions are the latest executives to exit the broker-dealer.
Clients are saying they would consider switching advisors if another professional offered estate planning services, according to a new Trust & Will survey.
CEO Laurel Taylor says the fintech's composable AI stack helps workers optimize dollars across Trump Accounts, 529s, 401(k)s, and other employee benefits.
The bank has swiped three private banking veterans from BNY as the city climbs the ranks of America's fastest-growing wealth hubs.
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
Direct indexing is on pace to outgrow ETFs and mutual funds. Northern Trust's Ken Lassner explains why the advisors who get it wish they had started sooner.
