Charles Schwab Survey: Young UK Investors Prefer Cryptocurrencies to Stocks

Charles Schwab Survey: Young UK Investors Prefer Cryptocurrencies to Stocks

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24/05/2021 by Koinal
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According to a survey among British investors, 51 percent of investors between the ages of 18 and 37 are trading cryptocurrencies, and 25 percent trading stocks. Only 8 percent of investors over the age of 55 are trading cryptocurrencies.
Charles Schwab Survey: Young UK Investors Prefer Cryptocurrencies to Stocks

According to a survey conducted by US-based financial firm Charles Schwab, it appears that young British investors are twice as likely to buy cryptocurrencies as they are to buy stocks.

According to a survey conducted between February and March 2021, among a thousand British investors over the age of 18 with at least one type of investment, 51 percent of investors between 18 and 37 are trading cryptocurrencies 25 percent are trading stocks.

The survey also found that only 8 percent of investors over the age of 55 are trading cryptocurrencies. This finding stands out as one of the most important results revealing the investment difference between generations.

Bitcoin, the largest cryptocurrency by market value, recently broke a new record, rising to $ 65,000. Unable to maintain record levels, Bitcoin has lost 23 percent since then.

Despite the recent correction, Bitcoin has gained more than 90 percent this year, thanks to banks like Goldman Sachs and Morgan Stanley changing their attitude and investments by companies like Tesla.

In the press release published by Charles Schwab about the research, it was expressed that it was feared that young people buying speculative products would not diversify their portfolios enough to reduce risks if the cryptocurrency markets fell.

According to the survey results, seven out of ten young investors are uncertain about how to protect against losses in the current financial environment.

Richard Flynn, UK managing director of Charles Schwab, stated that it is important to remember that cryptocurrencies are speculative assets that don’t fit traditional asset-allocation models. Investors should be aware that prospective returns are sensitive to supply and demand but this will not necessarily represent the actual value of cryptocurrencies.

Walt Bettinger, CEO of Charles Schwab, emphasized that additional clarity from regulators would be important before considering offering crypto investments. He also stated that since they are watching the current market, they are aware of recent developments regarding the crypto world. Schwab can be a player in the crypto market if more regulatory clarity is achieved for it.

As more and more investors join the world of cryptocurrency, both individual and institutional, the future of finance is gaining a brand-new shape. It is the perfect time to discover more about this world. Through our user-friendly portal, you can join this new space too! Koinal.io offers a safe and simple option to buy various types of cryptocurrency and manage your digital assets. Open a Koinal account today and get started right away!

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