Tesla’s Stock Is Genz’s Favourite, With 20% Of the Generation’s Investors Owning the Stock
- 20% of Generation Z (GenZ) are investing in Tesla.
- Apple is also among their favourite stocks, as 13% of young investors have ventured there.
- Social media, more so TikTok, is highly embraced by the youngest generation.
In a quarter of a century, Millennials and Generation Z( Gen Z) will inherit a lot of investments from their ageing parents. However, most of them are not waiting for the inheritance. They are already securing their future by investing in various fronts. According to findings from Moneyzine, Tesla (TSLA) is the most popular stock for Generation Z investors. Currently, 20% of Generation Z investors own Tesla stock.
Apart from Tesla, the young investors are keen on Apple, with 13% of the young investors owning shares. The research analyzed the preferences of Generation Z investors across the US and the UK for one year ending in April 2021.
Speaking about the findings, the CEO of Moneyzine said,
When choosing what to invest in, sustainability is a critical consideration for younger investors. Therefore, Generation Z considers green technology part of the future and is investing in that.Luke Eales
GenZ Investment Patterns
Investing in socially conscious causes has sparked a lot of enthusiasm among GenZs and other young adults. Consumers in Generation Z have come to recognize the importance of solid brand values when investing. Moreover, GenZ investors are keen on the impact of their investments on the environment. Besides, they consider social justice and corporate governance (ESG).
Gen Z investors have been instrumental in introducing a new financial investment into the fashion sector. StockX and FlightClub are two online trading sites popular with GenZ. They use the sites to buy and resell vintage apparel, accessories, and sneakers.
Role of Social Media
Investing in educational content on social media has been common in recent years. Generation Z and younger individuals turn to TikTok for financial guidance on social media.
The videos' condensed length makes it possible to convey complex material in a simple and entertaining way. Millions of views have built up accounts like John EFinance and MoneyChannel. The accounts produce minute-long (or shorter) videos to educate consumers on fundamental financial issues. Some of their deliverables include write-offs, mortgages, tax preparation, and stock market investment.
With COVID-19, the popularity of TikTok, or FinTok, rose as the number of millennials and Gen Z investors surged. Investing has piqued the curiosity of nearly half of British adults aged 18 to 34 in the last six months. 20% of those adults blame TikTok for their increased interest.