Gen Z Investors Shift Toward ETFs, Leverage at Historic Lows
Gen Z investors are shifting their investment strategies on Binance, favoring ETFs over individual stocks and using fewer leveraged products. According to an analysis by Binance Research, in early August, ETFs accounted for 25% of Gen Z's transaction volume.
In contrast to older generations, Generation Z executes fewer trades and makes less use of leveraged products. Binance found that on TradFi perpetual contracts, Gen Z averages only 13 monthly trades compared to 17 for Millennials and 16.5 for Generation X.
The study also notes a significant share of accounts dedicated solely to buying, with 22% of Gen Z's stock investment accounts having never placed a sell order. Among the most purchased assets are Broadcom, Tesla, and the Schwab US Dividend Equity ETF.