New data shows that 40% of millennials would prefer to put their money in crypto assets in case of a recession.
Social network and investment platform eToro cited a general investment survey that was conducted between July 18, and July 31 among 1,000 online investors in the United States. The respondents involved in the study captured the views of several generational groupings, with generation Z, Millennials, and Generation X all represented i.e people between the ages of 20 and 65 years.
The results of the survey showed that more than 2 thirds of American investors were afraid of a recession and would divert considerable parts of their stock portfolios to much safer and reliable investments, or hedge with crypto assets, real estate, and commodities.
The survey also showed that 40% of millennials would prefer to invest in crypto in case of a recession, while 50% of Generation Z would go with real estate over other investments. As for Generational X, 38% said they would go with commodities. The managing director at eToro U.S reacted to the survey by saying;
“We believe that if a recession were to occur, we’d see shrinking stock portfolios and growth in other asset classes like crypto, as well as new fractional ownership models. Historically, these investment opportunities have been limited to high net worth and institutional investors, but innovation is unlocking these opportunities for everyday investors and clearly, these results indicate that the demand is there.”
News of a looming recession would definitely push investors to fractional ownership according to the survey. According to the report, 92% of those concerned about a recession would move to own famous artworks, private startups, landmark buildings, among other types of investments. 50% of respondents said they would liquidate a portion of their portfolio to fund investment in fractional ownership of those types of assets. The results of the survey also showed that digital currencies were the fourth most popular assets overall, though half of the respondents in the entire study didn’t even know what digital currencies were.
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