Many investors were wounded by the market’s collapse as they saw their exchange traded funds (ETFs) and stocks lose value. But a recent study shows that the younger set may be entering the markets with relish.
According to new study from Scottrade, 20-somethings investing right now are enjoying it far more than their predecessors.
Kimberly Palmer for U.S. News & World Report explains that they’re more likely to manage their money on their own and to feel confident that they will recover their losses from the recession.
In fact, the number of young investors enjoying the ride has grown to one in three, up from one in four last year. The older generation views investing moreso as an obligation rather than as an enjoyable endeavor. A significant portion of Gen-Y ers are jumping into the stock market, which, given historical patterns about returns following market dips, is probably a good idea.
The current recession has taught some of these from Gen-Y a lesson or two about money. Many are learning about how the economy works and they’re more aware of their financial situation.
We can assume that those investors who are having fun understand their goals and are trying to reach them. They also likely understand the value of having a plan and sticking to it. There’s great satisfaction in reaching your milestones. For investors today, there are more options and more technology than ever. It’s there to help you do better and succeed, and these tools make it a lot more fun.
If you’re a young (or young-at-heart) investor, here are some articles you may enjoy reading:
- How to Use ETFs and Invest Wisely When You’re Young
- An ETF Trend-Following Plan for All Seasons
- 10 Steps to Better ETF Investing
For more stories about ETFs, visit our ETF 101 category.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.