Millennials are doubly more likely to use the services of a robot-advisor for their investment than investors of other generations, according to a report by BMO Wealth Management.
Robot Counselors FOr Millennials
In fact, 16% of millennials, compared to 6% for boomers and 7% for generation X, make investments through a robot advisor, according to the study. What is particularly striking is the breakdown of the generation of young adults between the different ways of placing their money. It divides its investments between an advisor at a financial institution (28%), an independent advisor (24%), a self-managed discount brokerage service (18%), a robot advisor (16%), a full-service broker (15%) and by buying shares in a public company (12%).
Also Read: Profitable Blogging Niches That Can Help You Earn A Lot In No Time
This equilibrium is also reflected in the products that millennial Canadians choose, among exchange-traded funds (29%), individual stocks (26%), managed investment portfolios (19%), GICs and money market securities. (18%), bonds and fixed-income securities (18%) or through insurance policies. Interestingly, boomers (34%) and Generation X (29%) are more adept at managed investment portfolios than younger generation investors (19%).
Also Read: Cockatoos Are Chomping On Internet Cables In Australia
This generation would tend not to hold investments for the long term. One-third of respondents in this generation reported that they bought investments to keep them for a long time, while this percentage rises by 11 and 12 percentage points in the other generations, respectively 43% for Generation X and 44% for the generation of boomers. Not surprising when we look at the financial goals of respondents, where retirement is largely the largest for older generations, where more than six out of 10 respondents identified it as an investment objective. Millennials, on the other hand, look more towards short-term goals (29%) or the purchase or renovation of a house (27%). Retirement is a goal for just under a third of them (32%).
