How Millennial And Gen Z Investing Practices Can Be Game-Changing

How Millennial And Gen Z Investing Practices Can Be Game-Changing

There seems to be this preconceived notion that Millennials and Generation Z are not responsible with their money. They are often criticized for not saving enough of their earnings and participating in spending habits that disrupt major industries, from the diamond market to even the real estate market. Given that they are constantly being compared to their parents (who are, in most cases, in a better financial state than they are) it’s easy to see why such criticism is so prevalent. While there are indeed some areas where they can improve, they are at least getting one thing right.

As of late, ounger individuals have been heavily engaged in impact investing, which is a practice that supports businesses and contributes to a worthy cause, from climate change and sustainability to poverty, healthcare. and education. It allows them to directly help solve the world’s problems while also yielding positive returns in a meaningful way. As Brian Condenanza of Entrepreneur puts it: “Impact investing is a natural expansion of the cause-driven movements that attract young people every day. ”

Impact investing is rooted in intentionality, which is a desire to affect positive change by contributing to companies that are oriented towards specific causes. Unlike charitable donations, such intentionality is not only driven by goodwill, but also by the prospect of making gains. That’s why it’s important for impact investors to do their research on the companies they would like to invest in—they must be confident that such companies are not only profitable investments but that they also follow through on the causes that they are passionate about.

According to a report by the Global Impact Investing Network, impact investing is on the rise, with the amount of money being put towards the practice increasing by a factor of ten between 2014 and 2017. Back in 2017, the estimated figure was at $139.9 billion, so you could only imagine just how much that has increased today.

With Millennials and Generation Z now entering the years in which their earning potentials are reaching their peak, it is only expected that impact investing will continue to grow in popularity. That, coupled with the fact that they are more socially aware of what’s going on in our world, makes impact investing all the more appealing. After all, making one’s money grow and ensuring a better financial future for oneself is great; but doing so while also making a positive impact on the world is even better.

Source: Entrepreneur




Dear reader,

 

It’s true what they say: money makes the world go round. In order to succeed in this life, you need to have a good grasp of key financial concepts. That’s where Moneymade comes in. Our mission is to provide you with the best financial advice and information to help you navigate this ever-changing world. Sometimes, generating wealth just requires common sense. Don’t max out your credit card if you can’t afford the interest payments. Don’t overspend on Christmas shopping. When ordering gifts on Amazon, make sure you factor in taxes and shipping costs. If you need a new car, consider a model that’s easy to repair instead of an expensive BMW or Mercedes. Sometimes you dream vacation to Hawaii or the Bahamas just isn’t in the budget, but there may be more affordable all-inclusive hotels if you know where to look.

 

Looking for a new home? Make sure you get a mortgage rate that works for you. That means understanding the difference between fixed and variable interest rates. Whether you’re looking to learn how to make money, save money, or invest your money, our well-researched and insightful content will set you on the path to financial success. Passionate about mortgage rates, real estate, investing, saving, or anything money-related? Looking to learn how to generate wealth? Improve your life today with Moneymade. If you have any feedback for the MoneyMade team, please reach out to [email protected]. Thanks for your help!

 

Warmest regards,

The Moneymade team