Nasdaq Publishes 2024 ETF Retail Investor Survey

Nasdaq published a survey highlighting trends in retail investing titled, “The Ascension of Gen Z Investors: Generational Comparisons and Other Economic and Social Trends Driving ETF Opportunities.” The contents of the report focus heavily on the generational impacts on retail investing and how those impacts spur growth in the ETF marketplace. The report notes that “Generation Z” relies more heavily on mobile devices and applications to enter the financial marketplace than older generations. Additionally, the Nasdaq survey reveals that “nearly half of all trades that advisors made for Gen Zers were in the form of ETFs.” The survey also found that “the two generations furthest from retirement are the ones most attracted to crypto: 57% of both Gen Zers and Millennials expressed interest in the ETF cryptocurrency category, compared to 11% of Boomers.”

The survey also highlights that younger generations are dedicating more of their time to investment research, including millennials. The study found that “respondents who conduct their own investment research said they are spending at least an hour doing so — up 24% since the last survey.” Investors are using educational tools provided by Nasdaq, Betterment, Robinhood, as well as more classic sources like Forbes and the Wall Street Journal to enhance their market knowledge. Social media also plays a factor in education although certain platforms are preferred over others, for instance, “80% of Millennials prefer discussion boards like Reddit, StockTwits and Discord, with Gen Zers close behind at 75%.”

Of note, investment advisors are gaining in popularity. The study found 79% of participants were likely to engage with an investment advisor regarding financial advice, a 4% increase from last year. According to the study investment advisors are “most popular with Gen Zers, with 87% reporting to use them, but high-income earners and Millennials largely account for the 4% uptick.”

Click here to view the Nasdaq report 2024 ETF Retail Investor Survey.