Just a decade ago, investing was often associated with the older generation – people who had already built a career, accumulated capital, and had enough experience and resources to think about stocks or make retirement plans. Today, the picture is drastically different. The new generation of investors, especially Generation Z, is starting to invest earlier than ever. According to international research, the average age at which Gen Z begins investing is only 19 years – compared to 25 years for Millennials, or over 30 for Generation X and Baby Boomers.
This phenomenon is not a coincidence. It is the result of a combination of new technologies, shifting life and career priorities shaped by the specific cultural and psychological dynamics of young people, as well as broader global economic conditions. The logical question is: why are young people entering the world of investing so early, and what opportunities does this bring?
At the same time, research shows that 60–70% of Gen Z identify three main obstacles to investing: a lack of financial resources, a mismatch between their goals and the maturity of investments, and insufficient knowledge combined with fear.
How does Gen Z think?
Compared to older generations, Gen Z approaches financial information differently. Instead of seeking advice from banks or financial institutions, they increasingly rely on information from social media, friends, and family. Digitalization plays a crucial role: as many as 65% of young investors use mobile apps and digital platforms. They typically start with small amounts – so-called micro-investments – which they gradually increase over time.
What stands out is that nearly half of young people choose cryptocurrencies as their first step into investing. Their main motives are curiosity, the desire to try something new, exciting and tech-driven. Psychology plays a strong role as well: many admit that they are motivated by adrenaline, a sense of competition with peers, or the opportunity to gain social status.
Capital Asset Management, the only Macedonian investment advisory company, warns that this approach carries risks, as many young investors focus on speculative instruments that promise astronomical returns – cryptocurrencies, forex, or even stocks bought on credit.
“Under the influence of speculative stories about getting rich quickly, they often underestimate the danger of heavy losses. Combined with limited financial literacy and impulsive decisions influenced by social media, young investors risk making mistakes right from the start,” Capital Asset Management cautions.
The need for a new approach
Encouragingly, young people want to learn and are open to new knowledge. They look for simple, clear explanations, small initial investments, and complete freedom in decision-making – without long-term binding contracts. They also expect digital solutions, making apps and online platforms an essential channel. Another characteristic of this generation is their interest in socially responsible investing – avoiding companies with high pollution or unethical practices.
This is where the role of independent financial advisors and companies such as Capital Asset Management becomes vital. Young people should not abandon their curiosity and willingness to experiment, but these impulses need to be guided in a safe and rational way. Professional portfolio managers can help them distinguish between speculation and long-term investing, and build a strategy that ensures security while protecting them from unnecessary risks.
“We carefully and analytically follow capital market trends, with special attention to Generation Z. Our experts have already developed investment models with small entry amounts, which allow gradual capital growth. Through investment funds, individually managed portfolios, and education, young people can take their first steps without feeling insecure or left alone to navigate an ocean of information,” say Capital Asset Management, emphasizing that today’s young generations are undeniably reshaping the logic of financial markets.
Igor Arsov, associate and INDUSAK project coordinator at Capital Asset Management, adds that young people have a different relationship with information, seeking digital solutions that fit their lifestyle.
“It doesn’t take long for young people to understand investing. They only need to decide they are ready to learn. For this energy to be transformed into real results, education and professional support are essential, as well as the innovative, specialized approach that we at Capital Asset Management are developing in response to the specific needs of Generation Z,” says Arsov.