Categories: PR Newswire

Gen Z and Money: Will the Youngest Generation of Adults Drive FinTech?

SAN FRANCISCO, Oct. 2, 2019 /PRNewswire/ — Findings released in the Logica Future of Money Study show that Gen Z is pioneering work opportunities in a social and tech-based workforce.  Key findings also indicate an increasing interest in computer-based advice to guide investing, saving, and spending decisions.

Gen Z is entering the workforce during a tech-based and frequently volatile economy.  According to the Future of Money Study, nearly one in three Gen Zers (31%) and Millennials (30%) are using side hustles as their only or primary sources of income.  They cite tech-based work for these side hustles.

Differences in financial stress and debt burden are notable by generation in the study.  While self-reported confidence in making personal financial decisions is relatively high for all Americans, nearly three quarters of Millennials (74%) and Gen Zers (72%) are stressed about finances, while just over half (55%) of Boomers feel the same.  The majority (66%) of Americans in the study also say they are likely to use one central hub to manage their financial life.  They want features such as push notifications on how they are doing against financial goals and on how they are doing on daily spending.  Desire for these push notifications is up from 2018. 

Computer-generated investment advice is also trending in the latest Future of Money Study.  Findings show that Gen Z leans into robo advice in three key areas, compared to more senior generations of investors.  These younger investors are more likely than other generations to say computers can do a better job than humans in the following areas: taking their whole financial situation into account, being easier to work with, and providing better investment performance over time.

“Young people are entering the workforce with an expectation that technology will help them manage their income streams and finances.  This is a dynamic time for financial solutions, and there are a lot of great tools.  Companies developing these tools need to understand the users and know how to communicate the benefits so these young consumers will engage in managing their money early,” says Lilah Koski, CEO of Logica Research.

About the Future of Money Study

The Logica Research Future of Money Study is conducted by Logica and is designed to provide insights to organizations to help improve people’s financial lives.  The results reported here are from the Spring 2019 wave.  The study is conducted online among 1,000 U.S. General Population Adults 18 and over.  The sample is balanced on gender, income, and age.  The study includes an augment sample of 200 older Gen Z (16-22, which is not included in total).  Results are not weighted.

About Logica Research

Logica Research provides insights to improve people’s financial lives and drive business growth.  Our clients include Fortune 1000 companies and leading marketing and PR agencies.

CONTACT: Lilah (Koski) Raynor, 415-334-3400, lkoski@logicaresearch.com

SOURCE Logica Research

Related Links

http://www.koskiresearch.com

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