$73 Trillion will be in Play

An historic transfer of U.S. wealth will take place over the next two decades as millennials and Gen Zers are expected to inherit $73 trillion from the baby boomer generation. According to a Bank of America Private survey those set to inherit this money are poised to make different decisions than their benefactors about how to invest it.

Forty-seven percent of younger investors hold digital assets of some kind, allocating 15% of their entire portfolios to crypto vs just 2% of the older generation. While they trust the same advisers for investment advice: professional advisers, crypto experts, or their own online research more than family & friends, half the young sector turn to social media for “guidance”.  Over 35% of the younger crowd think crypto will go mainstream by 2027.

The investments these heirs perceive to represent the best growth opportunities are crypto, real estate, private equity, and ESG Funds (environmental, social, governance). The survey found that Sixty-six percent of younger investors own art,versus 23% of the older generations, and over 80% purchased a piece of art within the last year.  Those Gen Zers collecting are doing so in a fleeting rebellious Gen Z way. While they like art for its aesthetic value, 42% of them concede they’re likely to sell it once it appreciates in value compared to only 10% of the older group.