Generation Z (born 1996–2010) is coming of age financially. Numbering roughly 68.6 million Americans and representing about 20% of the U.S. population, they collectively wield an estimated $450 billion in global spending power. As this cohort moves into the workforce and begins investing, their preferences are poised to reshape the financial industry.
While traditional brokerage accounts remain dominant among older investors, Gen Z is gravitating toward fintech platforms and apps. Only about two‑thirds of Gen Z investors have a traditional brokerage account compared with 92% of Baby Boomers. Nearly one‑quarter of Gen Z uses only fintech to invest. Lower fees, seamless mobile experiences and social features are key factors attracting them.
This generation grew up with smartphones and expects digital experiences to be intuitive and visually appealing. Platforms like Robinhood intentionally prioritize simplicity—bold call‑to‑action buttons, clear portfolio views and minimal clutter—to reduce cognitive load. For first‑time investors, such design transforms a traditionally intimidating process into something approachable.
Gen Z relies heavily on social media for financial education. During the COVID‑19 pandemic they doubled the time spent on finance and trading apps, and a quarter of them now turn to YouTube for investing information. While social networks make investing more accessible, they also risk spreading misinformation when inexperienced influencers dispense advice.
Affordability is paramount to Gen Z. Eighty percent of Gen Z investors seek the lowest‑cost financial services—more than any other generation. They value democratizing investing and look for companies whose products align with their ethos of equal opportunity and transparency.
For incumbents, engaging Gen Z will require modernizing user experiences, offering low‑cost products and promoting financial literacy. Those who adapt stand to capture a large and growing market of digitally savvy investors.
James Langston, “The future of investing: How Gen Z is shaping the financial landscape,” RFi Global.
FINBOTPRO