"By the numbers: As of early 2025, people with below-median incomes were five times more likely to be adding money to financial investments than they were a decade ago. About a third of 25-year-olds have investment accounts today. That's a sixfold increase relative to 2015. Men tend to be more active investors than women, with a slight uptick in that gap seen in November 2024,perhaps tied to "political outcomes," the researchers note."
"Zoom in: While investing has increased, personal savings has been relatively depressed. Median real cash balances and income growth are still low compared with levels before the pandemic. That could indicate that dip-buying and trend-chasing is inspiring more investing. "Unless bolstered by fundamental drivers-i.e., a rising saving rate, supported by income growth-there are limits to how much the investing trend could continue," the study notes."
As of early 2025, people with below-median incomes were five times more likely to be adding money to financial investments than a decade earlier. About a third of 25-year-olds have investment accounts, a sixfold increase relative to 2015. Men are more active investors than women. Investing has increased while personal savings remained relatively depressed; median cash balances and income growth are still low compared with pre-pandemic levels. The increase is linked to the pandemic and stimulus, technology that made investing more accessible and gamified, and record-high asset prices. Younger and lower-income investors are more responsive to price, shifting money into investment accounts and engaging in dip-buying and trend-chasing.
Read at Axios
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