Tembo, the tech-focused mortgage broker reveals 16% of young people surveyed aged 22-24 plan to invest in NFTs or crypto in the next five years. This compares to 14% who plan to invest in an ISA and just 10% who plan to invest in a pension.
The research, based on a survey of 2,003 people aged 22-30, shows significant regional and gender differences when it comes to investing. Almost one fifth (19%) of men plan to invest in NFTs or crypto, versus only 7% of women.
While young people in Liverpool (19%), London (17%) and Norwich (20%) have plans for NFT or crypto investments in the next five years, far fewer plan to do the same in Belfast (7%), Newcastle (6%) and Southampton (5%).
Social Media
The survey also revealed the impact of social media on financial decisions. 30% of those surveyed say social media like TikTok and Instagram is their primary source of information on finances and investments, rising to one third (33%) for 22-24 year olds. While 23% get information from family, 22% from financial advisers and just 5% turn to books for their financial education.
Get rich quick?
Although 60% say their motivation for investing is to secure their financial future, over a quarter (26%) say they invest in order to double or triple their money in a short period of time, rising to 30% for 22-24 year olds.
Looking to the future
When asked about the thing they fear most, 29% said it was never owning their own home in future. But more said never having their own family (36%) was their biggest fear.
Almost everyone surveyed believed that the milestones they most want to achieve in life are different from their parents. This is, perhaps, best reflected in the very low numbers of those surveyed who wanted to get married, - only 7% think marriage is an important milestone.
56% believe it was easier for their parents' generation to get on the property ladder, with over half (51%) of these respondents believing this is because their parents had better access to finance.
Pension planning
Although few respondents said they planned to invest into a pension, more people (38%) said they plan to fund their retirement with a pension than by any other means. Almost half (49%) of women plan to fund their retirement with a pension compared to just over a quarter (28%) of men, more of whom said they plan to fund their retirement through their own assets (35%) or through property (20%).
Women's finances seem to have been significantly worse affected by the cost of living crisis. Over 20% more women than men who have a pension say they have been prevented from contributing more to their pension because of the need to save for general cost of living - 61% of women compared to 40% of men.
Richard Dana, Founder and CEO, Tembo said: "It is interesting to see how young people think about planning for their financial future, but it is sad to see so many of them fear they will never own their own home. With so much innovation in the mortgage market right now, however, young people may be able to make their home-owning dreams a reality in a way they may not currently realise. Although there is so much information out there about financial planning, it has never been more important to make sure you are getting information from credible sources and being savvy about where you invest your hard-earned cash."