Many Gen Z investors are usually exploring the markets for opportunities that would allow them to turn a quick profit. According to studies, they are a generation of investors who take more risks, trade more often, and practice investing habits viewed as unfavorable by experts.

To get to know zoomer investors further and their approach to investing and the markets, here are a few things about them that you can take note of.

They are Bigger Risk-Takers

Gen Z investors seemed to be willing to take more risks than the earlier generations of investors who prefer to invest their money over the long term. A study showed that about 49% of zoomer investors suggested that they only plan to invest their money over the short-term or two to five years.

The year 2020 has seen young investors performing investing habits and practices that have been traditionally considered unfavorable.

Additionally, a higher risk appetite and more speculative investing were observed among Gen Z investors. They also traded more frequently and checked their portfolios more carefully and almost regularly.

You may already hear that buying stocks and holding them for a very long time is the best wealth-building strategy you can do. Still, you can try finding the middle ground between risking your money to get rich quickly and putting it into an investment that would allow it to grow steadily.

They are More Determined to Invest Early

Many Gen Z investors have decided to invest early rather than wait until they have what they need to invest. According to a survey, around 22% of them started investing during their teenage years, higher than the 9% of Millennials.

Zoomer investors have learned that you can start small in investing, and you can hold some stocks for free as long as you know where to look.

Whether it’s only a dollar, $100, or $600, you can start buying into the markets. Some financial firms even let investors bet on individual stocks through fractional shares and, in some cases, exchange-traded funds (ETFs) for $1 or higher.

Finfluencers Appeal to Them

Financial influencers or finfluencers become popular on social media during the pandemic and the corresponding surge in retail trading.

Some finfluencers use social media platforms to share financial- and investment-related information, show how they make buys with cryptocurrencies, or address sexism that is ever-present in the financial and investing space.

On the other hand, there are finfluencers who talk about certain stock investments or plans, which are often get-rich-quick schemes that promise you quick and substantial returns if you use the strategy.

Keep in mind that finfluencers usually don’t qualify as financial experts because, just like other investors, they are only trying to see whether an investment is worth their money.

While a lot of them have already made this clear on their social media pages, many people online continue to rely on their methods and advice.

Research showed that social media has become crucial for Gen Z investors to determine whether they should invest in a particular stock, underlining the importance of finfluencers in early investing.