Young investors look beyond meme stocks

George Moriarty [00:00:00] I’m George Moriarty, and welcome to By The Numbers. Today, we’re talking body art. That’s right, tattoos. After the GameStop stock surge earlier this year saw online brokerages like Robinhood Markets and Fidelity experience an influx of next generation investors, millions of young investors are entering the stock market for the first time. These investors were generally thought to be financially illiterate and were dubbed meme stock investors. But new research by Public next gen investing app with more than a million users and research group Nonfiction Research studied more than 1000 new investors, defined as those who’ve started investing in the past three years using a mobile app. And here’s what they found. Eighty one percent of new investors who purchased a meme stock said they want went on to diversify their portfolios, and more than half of those said that they’re in it for the long haul. Seventy six percent want to build enough wealth to start a business, gain financial independence and begin families. 19 percent want to invest in companies that have a positive impact on the world. Forty one percent said their investments are a better indicator than their internet search history, and 12 percent said they would reveal their holdings on a dating app. But get this three percent or about 1.1 million Americans would tattoo a favorite investment ticker on their bodies. Here’s Public’s Vice President of marketing Katie Perry.

Katie Perry [00:01:33] Forty one percent of people said that their investments say something about who they are. There’s a really strong link between investing and the companies you own or support and your identity. There were some interesting stats in there about people not wanting to date someone if they didn’t approve of what was in their portfolio. There was another finding that said being a savvy investor, they believed, you know, gives you as much social clout as having 10000 followers on Instagram. So there’s a really strong sense of identity. With this new cohort of investors as well. 

George Moriarty [00:02:08] Even if ticker symbols don’t take up over the body, our business. Next gen investors have made it clear this year that they do want to be part of the global investing scene. Advisers would be smart to pay attention to their interests and recognize their worth investing in, and that’s all for this week on By The Numbers. Thanks for tuning in, and from our New York office to yours. Stay safe and be well.